By Kathleen Black
Are you new to the industry? Or are you a team leader or broker-owner, who wants a resource to help your new hires navigate setting expectations with buyers? I have the perfect system for you.
What if half your buyers could predictably purchase in half the time? They can & do with the KBCC Market Education Process.
Make them Educated Buyers
What you’re going to do now is take some time to explain the steps involved in buying a home to your buyers.
You’re going to show you how you are different from most other real estate companies and show your buyers how to make this home buying experience as stress free and as Fun as it can be.
Let's take a quick look at the 10 Simple steps to buying a home:
1. Determine your wants and needs
2. Select your Real Estate Agent
3. Get pre-approved for a mortgage
4. Get access to up-to-date information
5. Market education – viewing homes
6. Make an educated offer
7. Home inspections and waivers
8. Selecting a Lawyer
9. Perform the final inspection
10. Moving in
Market Education
This is a vital step for you right now. It is one of the most important steps that is missed by most home buyers as they begin their home buying journey.
And, it is frankly something most of the other agents just will not do because they feel it is a waste of their time, however, I know that this step will help your buyers make a better decision, help them save money, and help make their transaction less stressful.
It will also benefit you as you will get a better understanding of your clients wants and needs.
This step is called Market Education.
You need to get out right away to view some homes in your price range regardless of style or exact location. This is the first step to understanding what is a good deal and what is not. It will give your buyers an edge over other buyers and also the Sellers.
The Importance of Market Education
The purpose of this is to help get your buyer acquainted with the marketplace. It is not about buying a home… at least not right away.
Market Education will help them begin to focus on their search criteria as well as gain valuable knowledge of the value of the homes in their price range.
It will also create a less stressful transaction, so when they do stumble across that great deal they will know it right away, be able to pounce on it and most importantly feel very comfortable in their decision.
Lastly this will help your buyers because they will have a firm knowledge of home prices so they will never overpay for a home, or even feel like they might have.
Can you see how this step will help them save money, and have a less stressful transaction?
After explaining all of this to your buyer you can say:
“Excellent, what we are going to do is set some time aside in the next 48 hours to see a few homes, do days, evenings or weekends work best for you?
{Set a Time for next appointment}”
This is a critical step book at the time but do not discuss what you will see, simply say you will cover it later if you are asked.
When Selecting Homes to View
When you select what homes to see, keep the following things in mind:
This is the only time you will pick the homes for you and your buyer to view.
If you have 5 clients all in the same price range they will usually all pick a different top 5 homes to see.
Because of this usually the buyers will pick the homes to your taste and you, as the agent will follow their lead. In this case it is so important that you both get out and experience the market, and that you will pick the homes for them. Let them know that if they see something they love, send it over and you will add it to the list.
Keep in mind you will:
Pick different types and styles of homes and get to know the styles!
Drive by the areas first so their time isn’t wasted on homes that are on busy streets, in poor neighbourhoods or do not appeal to them visually off the bat.
Know the difference between the buyers Wants and Needs categories and never let them view a home that doesn’t fill the Needs!
Select a Maximum of 6 homes to visit in one day (4 is best)
Schedule time after the showings to sit down and discuss the home's merits and to help focus the search.
At this point you will have educated buyers ready for when the perfect home comes along so you can act accordingly.