How to Best Help Fence Sitters

Real estate agents always wonder how best to respond to buyers who are “on the fence.” Clearly they are able to invest in real estate and would like to do so, but they are afraid that the timing may be off, that there may be a “better” time if they just wait. What is the best way to help these buyers?

Interestingly enough I have read comments from many agents on this topic and I am always surprised to see that a large percentage of them say these clients are not worth the time. They claim that it is a waste of time to work with people who are uncertain and may never end up buying. If I followed that advice I wouldn’t be in business!

The other school of thought, and the one to which I devote my career, is to be the agent who truly helps people, regardless of how long it may take. This requires the agent to play two roles: teacher/coach and guidance counselor.

As a teacher or coach it is imperative to first recognize that everyone learns differently, and everyone has different goals. That is true also of people who plan on purchasing real estate. Buying a home is one of the biggest purchase decisions one can make.

Some buyers want a home for their family, where they can live and grow and eventually own outright. These are the long-term buyers. Others want a home that they can live in for a while, build equity down the road, and then trade up for a bigger home or one in a different location perhaps. Based on the individual goals and desires the client’s needs will vary.

As a teacher or coach it is the agent’s duty to provide, at a minimum, the following to her clients: a breakdown of areas/neighborhoods that fit the client’s criteria, a detailed comparable market analysis of properties in these areas that fit those requirements, and other information (such as homeowner association  fees, taxes, mello roos taxes, and other tidbits that could influence a decision to buy—is there airport or freeway noise, does the neighborhood have difficult ingress and egress, etc.)

Some clients, especially those who are moving to an area from out of state, need even more detailed information. Binders are a great idea, and you can really get creative. I prepared a big binder for clients who were unsure as to which part of San Diego they wanted to move. It included tabs of different areas that met their criteria. Behind each tab I placed printed information on a different area—shopping, dining, proximity to transportation, maps, articles, highlights, web links…whatever I felt was important to my clients. I then included active listings and comparables from each area. I dropped it off at their hotel before we went out looking. This gave them an idea of what to expect and they felt it really helped them understand what each area had to offer.

The binder is a valuable tool for clients who are “on the fence” as well. You can really tailor it to be specific to their needs or desires.  You can get as detailed as need be, including graphs of pricing over time, interest rates, floor plans, whatever it takes to help the client feel more comfortable.

The teacher/coach has to also be able to help the clients become familiar with the inventory out there. The goal is NOT to get the client to write an offer, but to help the client learn about different areas or neighborhoods so that s/he can feel comfortable. I suggest offering to take them out looking every few months, or whenever they feel they want to see a property. I tell them it is important to keep up with inventory and pricing so that when they ARE ready one day they will be completely informed and know exactly which areas or neighborhoods on which to focus.

Aside from teaching, providing information and keeping clients up to date on inventory and areas, a good agent has to help guide the clients. Pages of information can be overwhelming, and statistics may only push the buyer to sit on the fence longer. The tools and showings provide great information and familiarity, but it cannot stop there.

Like a good guidance counselor, the agent has to be able to sit down and discuss all the information with the client. Sometimes this has to be done numerous times over the course of months, even years. For those out to earn a quick paycheck this process will not work. But for those who value the trust and relationships they foster with their clients, there is NO better way to assure future business. Your time, patience and dedication will not only help your clients immensely, but will bring you other clients in the long-run. Most importantly, it will make you feel great!

The real estate industry has changed drastically in the last 5 years or so. Many agents have left the business because of the tough economy. Some agents still spend exorbitant amounts of money attracting new clients. But there is no better method of success in this business, in my opinion, then truly being helpful.