Real Estate News and Advice
November 23, 2009
Today's Insider REALTOR Secret


Search Realty Times
 









Let Webcast City webcast your message.









NEED HELP?

Click for Live Support


Call: 214-353-6980








Handling Disturbing Buyer Behavior

Knock, knock, knocking on sellers' doors.

The sellers were two elderly women, a mother and daughter. When a buyer knocked on their door, waving a printout of their home from the Internet, they thought it was proper to let him in and let him look around the home. Lucky for them, they weren't robbed or physically harmed, but their security was definitely breached.

"The bastard didn't buy the property either," says a shaken Scott Watson, the women's listing agent. "I hope that we don't read about some nutcase talking his way into a property and hurting someone. But it could happen."

Unrepresented buyers pushing their way into represented sellers' homes is a disturbing new trend, notes Watson. Even though a sign in the yard could could encourage the same buyer to approach the seller directly, somehow having printouts of the home is like waving a permission slip to unsophisticated or uninformed sellers.

In enabling buyers with more information, has the industry created a more independent or a dangerous buyer?

"These buyers are bolder and more independent," says Watson. "I farm a geographical area. So my open houses are mostly in the same neighborhood. I see the same buyers over and over again. "They are coming to open houses on their own and I'm seeing more and more people with the data out on their own. They eventually buy, but on their own terms."

Information is power, and the Internet has given buyers confidence that they can find and negotiate the home of their choice. These buyers don't appear to understand or respect the protocol involved when a seller is represented by a Realtor.

Watson believes that these buyers are acting alone in the belief that they will save money. "I get calls every other week with buyers wanting to know when I was doing an open house on the property they want to see," he says. "These people have no agent and when they find a property they want, they use the listing agent, thinking they can cut a better deal. Sometimes it works, sometimes it don't."

A Realtor's job includes protecting the seller by allowing only qualified, represented buyers to view the seller's home. Represented buyers tend to be more serious about finding a home quickly and are more willing to come to terms. They are more likely to be pre-qualified by lenders, so they can act when they find the home they want, particularly if they have a lock-in rate on a good loan that may expire. A qualified, represented buyer is more likely to close and with fewer glitches. In short, it simply isn't in the seller's interest to open the home to anyone who is not accompanied by a Realtor.

But that's not how the buyers view themselves - as security and closing risks. "A lot of the buyers I see don't need a nursemaid. They are smart, informed, and know what they are looking for. If they have been looking for some time, they know the comps," says Watson. "They know the neighborhood."

They just don't know why it's bad form to knock on a represented seller's door. It's simply an invasion of privacy.

Watson has taken to warning sellers that buyers may approach them and ask them to show their homes without an agent present. "I now have a warning speech prepared for my sellers. Do not let them in the house. Give them my card and tell them to call me, or their own agent," says Watson.

What else can agents do? They can ask their brokers, MLSs, and technology marketing service providers to pitch in. In the remarks section of any Internet listing, the following warning can be posted to Internet buyers. "Notice: this home is represented by YourName, Realtor. For security reasons, only represented buyers who are pre-qualified by a lender may view this home. If you would like to know more, please contact your real estate broker or if you don't have one, contact YourName, Realtor at phone, e-mail address."

The warning can also be turned into a lead generation opportunity - "If you are unrepresented by a Realtor, please e-mail me here and I will be happy to help you buy this home or another home of your dreams."

Brokers and agents must show all legitimate buyers homes when requested, but sellers do not. Educating buyers and sellers may not stop the boldest from knocking on represented sellers' doors, but it could encourage some of them to contact a Realtor.

Published: July 20, 2001

Use of this article without permission is a violation of federal copyright laws.




Blanche is a renowned author of five real estate books. Her newest, Bubbles, Booms and Busts: Make Money In Any Real Estate Market, McGraw-Hill, was rave-reviewed by The New York Times. She was also selected from hundreds of real estate experts to contribute to Donald Trump's book, Trump: The Best Real Estate Advice I Ever Received: 100 Top Experts Share Their Strategies, Rutledge Hill Press, and is featured on page 68.


Order Now
Review - Honors

In 2006, Blanche was selected among scores of candidates to author two consumer real estate guidebooks for the National Association of Realtors: The NAR Guide to Home Buying, and The NAR Guide to Home Selling, Wiley & Sons. She is currently planning two new books for the NAR and its members.

     

Known for her keen insight into real estate industry issues and for her ability to make complex subjects easy to understand, Blanche is a sought-after keynote and continuing education speaker. Real estate organizations from MLSs, to brokerages, to franchisors, to associations hire her to provide up-to-the-minute analysis of real estate industry news and advice on how to improve revenues. Her passionate delivery, peppered with stinging wit, is a huge hit with audiences and fans.


Don Klein, CEO Greater Nashville Association of Realtors, Blanche Evans, Richard Courtney, president 2007, GRAR

"The GNAR membership meeting last week featured Blanche Evans as the keynote speaker. Her comments and insights resonated extremely well with those in attendance and we have had many requests for copies of her PowerPoint Presentation. She was a terrific part of the membership meeting and convention program!" - Don Klein, CEO Greater Nashville Association of Realtors

Coverage from WSMV, Nashville - 8-14-2007

That Interview Guy - Get Inside The Head Of Today's Generation
2007 AE Institute Session - To purchase
2006 AE Institute Session - Parts 1 2 3 4 5 6 7 8 9
HouseValues Mastermind call - Parts 1 2

Blanche's fireside chat with Jeremy Conaway, HAR - Click here.

For more articles by Blanche, click here.







Real Estate News Network

You must enable Javascript to view the Video content and Navigation on this site.






Spotlight


Today's Headlines



Agent Publicity | Market Conditions Interview | Local Market Conditions | Video Newsletter | Article Index | Terms & Conditions | Privacy | Contact Us

Copyright © 2001 Realty Times®. All Rights Reserved.