Reasons for Buyer Remorse...and How to Prevent It
Even though the 2022 real estate market was challenging due to low inventory and rising mortgage rates, it didn't stop thousands of moves. While there are plenty of happy new home owners, many felt that they didn't make the right choice.
A recent survey found that 75% of buyers had some regrets about moving. The biggest regret: buying a property that was too small for their needs. Other common regrets included not de-cluttering before the move, and the time required to complete the transaction.
Sharing these results with prospective buyers may help you earn more positive reviews this year. Referring buyers to me for financing can help prevent lengthy loan processing and approval times.1
How Tiny Slip-Ups Cause Major Hassles
Preparing a home for showings is a basic agent skill, and you've probably managed more than a few of these. But overlooking small things can put a prospective sale at risk and even add a last-minute contingency to a loan approval.
One New York agent shared a story of a walk-through with a prospective buyer. Everything went swimmingly until her client spotted warning lights on the unit's washer. Repairs turned out to be expensive and the seller refused to pay. After providing a video of the washer's performance, the sale was finally finalized.
Another example of a small slip-up causing a big problem: a buyer's loan was on the verge of final approval when their stellar credit score was flagged. The cause was an unpaid cable bill for $140.
Small details can cause problems that are blown out of proportion by stressed clients. Remaining calm – at least until you're alone! – is your best strategy when finding solutions.2
Preparing For Retirement: It's More Than Money
One of the most common rules for personal finance is to begin saving for retirement early on. However, the best retirement years don't rely solely on your nest egg. Your social connections will be just as important.
Beginning in 1938, Harvard researchers began a study that asked a single question – what makes you happy in life? As participants reached retirement age, they reported that their biggest challenge wasn't money. Instead, it was replacing the social connections they'd built at work and within their neighborhood. They didn't miss work, they missed other people.
For many of us, work is where we feel that we matter most. In addition to assisting clients with one of life's biggest financial decisions, you may be financially responsible for family members. This is why many retirees realize too late that their work relationships meant a lot to them.
The lesson to take away is simple. No matter how busy you are, spending time with the people that matter to you is equally important.3
Phrases That Can Crater Your Credibility
It's easy to let certain phrases slip into a conversation, especially if you're discussing a potentially stressful subject. However, some can make you appear unprepared or unsure of yourself. Remember to eliminate these five from presentations and client chats:
"In all honesty"
Although this phrase is used to convey sincerity, some will assume the opposite meaning.
"I think"
It sounds innocent enough, but this makes you sound tentative and unsure.
"In my opinion"
You can get away with this occasionally, but overdoing it can make you sound unsure or hesitant to take a firm stance.
"I'll try"
This makes you sound as if you lack the confidence to negotiate a sale or solve a problem.
"Did that make sense?"
While it's good to invite clients to ask questions, use a different approach. Give them at least 15 to 30 seconds to digest, then ask if they have questions.4
Why Thank-You Notes Are Never Out of Style
Some of the most famous people in history, from astronaut Neil Armstrong to actress Elizabeth Taylor, understood the power of a handwritten thank-you note. It's one of several reasons you should always send them to buyers and sellers. Making a personal connection in a traditional way proves your dedication. Besides, when you're going through your mail, what do you open first: the hand-addressed envelope or the bills?
If you aren't sure of a correct postal address, you can leave your note in other places. For example, you can deliver it to your buyer personally at their new home, or leave it in their home so it'll be the first thing they see when moving in. Some agents like to add a personal, RESPA-compliant closing gift.
Last but not least: sending additional thank-you notes to title company staff and/or real estate attorneys who went the extra mile for your client is well-worth the effort. Building and maintaining strong partnerships create a better buyer experience while building your client and referral lists.5
Sources: 1cnbc.vom, 2therealdeal.com, 3cnbc.com, 4cnbc.com, 5theclose.com
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