Tuesday, May 7, 2013

Are You Wielding The Sword …Or Raising The Shield?

Are you Playing Offense when you should be Playing Defense? Or Vice-Versa?
I am sure you have heard the term “The best offense is a better defense” right? Today’s topic is regarding how we handle transactions with the co-broke associate and for our clients.
Since the 1990’s when Seller and Buyer Agency was introduced into North Carolina Real Estate transactions we have seen the growth of transactional confrontational agents (TCA).  It seems some licensees take it upon themselves to wield a sharp and swift sword for their clients…sometimes with… but most times without the client’s best interest in mind and/or even without their knowledge!
 
Example: A TCA listing associate takes it upon themselves to “fight” for the sellers to not make a minor repair requested by a buyer…or a TCA Buyer’s Agent who verbally “demands” a seller of a 35 year old home make every repair and “FYI” observation on the inspection report without having a formal due diligence request signed by the buyer. ..or even going over the details of the report with the buyers.
So when do we need to brandish the sword and when do we need to put up the shield in defense?

As a Broker In Charge I get to witness all the dirt in a transaction up close and personal… Agents don’t come to their brokers for assistance when everything, and everyone, is Happy, Happy, Happy!
“The Firemen” get called upon when the barn is on fire and the buyers, sellers and agents are all running in circles screaming “the sky is falling…the sky is falling”… Hence the term “putting out the fires”.
What we see most often is a situation where if the two agents would have allowed the buyer and seller to work out a compromise between themselves… the small spark which started the conflagration could have been easily extinguished early on… (And more often than not)… the cause of the disagreement was a misunderstanding caused by one or both agents verbal or written “delivery” of sensitive news to their clients.
 
Five Tips on Keeping Peace in a Transaction:
1)    Explain the process and Educate your clients before and during the transaction…prepare them for the requests and road blocks they may face so it will not come as a surprise when it occurs…this comes under the category of “Do Your Job” better up front to avoid “Bad Press” later.
2)    Put everything said….and I mean everything… in writing. If it was spoken of in a phone conversation or face to face…send a follow-up clarification email…if it is in a voice mail…save it…Once it is in writing… file it. Once filed keep it safe.
3)    Never make assumptions… Never assume what your clients answer will be… with the proper explanations and education as in #1 above you may be surprised how agreeable people can be. Also never assume the other agent or client will do the right thing…follow-up to ascertain things promised have been done.
4)    Put all requests in writing…don’t just hand an inspection report to a listing agent and say the buyers want everything fixed. Follow the proper procedures and ask for specifics…how to be repaired and by whom. If left open the repairs may be done sub-standard, without required permits, or even “cosmetically repaired” just to pass a visual re-inspection.
5)    Finally…BE NICE! In the movie Road House... "Dalton" (Patrick Swayze) told his security staff at a rowdy night club to be firm…but be nice. These are great words to follow during a transaction. Negotiations don’t have turn into a Stanley Cup Final Game Brawl. Most times being nice will take you much further than swinging a heavy sword and screaming a battle cry. Dalton was hired by the night club to be a "cooler"... that is the REALTORS job in a transaction...BE THE COOLER!
 
We hope these tips will help you to have more enjoyable transactions and happier clients…and happy clients are more likely to send you qualified referrals to grow your business!
Eddie Brown ©2013

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