The Hintze Team Blog

If you stay in real estate long enough, chances are you’ll have to fire a client. Whether it’s a buyer who will never find the perfect house or the seller who refuses to list his home at a price point even remotely close to where it will sell, one day you will want to cut the ties. Or maybe you’ll need to say sayonara due to a personality clash, or if your client is a real estate know-it-all and won’t listen to reason.

As Ian Watt of Sutton West Coast Realty in Vancouver shared on his blog on February 23, “Today was an interesting day because I fired two clients. I kind of feel bad for doing so but the thing is when you get to a certain level, you want to just work with the people you want to work with. An extra $5,000 or $10,000 at the end of the year is not going to make or break my year. One guy had his place listed with another Realtor and it didn’t sell. I took over the listing and it didn’t sell. Halfway through the listing, he wanted to increase the price by 10 per cent. If it didn’t sell at the lower price, why would a 10 per cent INCREASE in the price make a difference? It’s not worth my time, energy, or my money to market this property anymore so I basically just said, ‘Thank you very much. It’s time for you to find a new Realtor.’”

Watt tells what happened with the buyer he fired the same day. “The client I fired is stats oriented (and that’s great as some people are just that way.) Engineers, accountants, and such need a lot of information. I guess I’m not the right Realtor for them. Finding the right Realtor is like finding the right doctor, lawyer or hairdresser. Anyone can do the job but you want to find the guy you have confidence in and you have the right fit for. To tell you the truth, I’m not a great fit for that guy so I referred him off to my mentor, the guy who trained me when I first got into the business. I can’t waste time with people that I don’t connect with or that don’t understand the way I do this business.”

It is vital for your sanity and reputation to get rid of a client before you start having fantasies about wrapping your hands around his throat and throttling him. How do you know when it is time? Here are a few telltale signs:

You get worked up talking to the client.
You know you will never be able to find a middle ground in your disagreements.
Your client calls and you don’t pick up or, if you answer, you do it with a heavy heart.
Your client does not do what you repeatedly ask of him.
You can no longer make impartial decisions regarding your client.
Lines of communication have broken down.
Your client expects you to be “on call” for him 24 hours a day and your relationship is exhausting.
Your client is questioning your integrity or is lying to you.
Your client is adamant you do something that goes against your moral code.
Your client is driving you crazy and it’s taking a toll on your sanity.

Breaking up is never pleasant but it is sometimes necessary. Go into the discussion rationally and professionally and without emotion. Keep the end goal in mind – to sever the relationship with the least amount of damage. Try to keep the accusations and profanity to a minimum. You can offer to refer the client to another Realtor you feel they may be better suited to work with.

Before you part, wish the client good luck and leave the situation amicably even if you still want to throttle him. If the client doesn’t agree with you and wants to continue working together, stick with your decision no matter how much he tries to convince you otherwise. There’s a reason you are having this discussion to begin with!

Although you’ll want to get out your frustrations, resist venting about the client to colleagues. Not only does it increase your risk of a slander or defamation lawsuit, it also makes you look bad.

Watt has some thoughts on this topic: “Our time as Realtors is very limited. We can’t be everywhere, with every client at every moment. It’s very important to understand that working with clients who are wasting your time are also taking away from the ability to work with less high-maintenance clients, those who are serious about putting pen to paper. We have to remember we can’t be all things to all people, and we can’t all be a perfect fit for every person – if that were the case we’d never see divorce in our society. I think when firing a client, you just have to be honest and explain that you (the Realtor) are not the right fit for the client and then refer them off to another Realtor. Furthermore, if there is strain on the client/Realtor relationship, this experience will result in just one sale, no repeat business and no referrals.”

Source:remonline
By Toby Welch

As you read and study about buying real estate, you will often find the words "house" and "home" used interchangeably. There is a huge difference between a house and a home.
A house can be a place to eat, sleep, park your car, and put all your "stuff" (including other family members). It is a material possession and an investment. A home is where you feel comfortable, warm, safe, and protected.
A home is where you live.
A house is something you buy logically. A home is an emotional purchase. When buying real estate you have to balance your emotional wants and your logical needs because there will almost certainly be a time when the two conflict.
Example
For example, you may want a house with a view, but the payment is higher than you feel comfortable with on a thirty-year fixed rate mortgage.
What do you do?
Purchase the house anyway and budget more carefully for the next few years? Buy the same house without the view and get it cheaper? Make a larger down payment by borrowing from your 401K or family members, so you get a lower payment? Get an adjustable rate mortgage with a smaller payment instead of a fixed rate loan? Or buy a smaller house and still get the view?
When viewing the house, most people look at it emotionally and envision it as a safe, happy, comfortable home. Later, when making the offer or filling out a mortgage application, your logic may begin to kick in, instead. That's when "buyer's remorse" may come up, but...that's a different article.
Balancing Act
The trick in buying real estate is to view all decisions with both a logical perspective and an emotional perspective. If a situation presents itself that requires a trade-off, decide on whether there is a huge conflict or a small one. Logic should win the big conflicts, but emotion should always be a factor, even winning the small ones.
You will find yourself owning a warm, happy, safe home – and an investment for the future at a price you are willing to pay.
SOURCE:Realestateabc.com