Creating Urgency to Buy

With all the national spot light on the real estate market thanks to the negative press from the media, finding buyers in this market and getting them to buy can be a challenge. With this challenge, here is some sage advice in how to create urgency in this all to scared market segment.

First, some perspective on buyer urgency.

1. The Challenge

• The media creates misconceptions about buying homes today
• Buyers fear paying too much
• Buyers don't have any sense of urgency
• Many agents think it is not a good time to buy

1. The Solution

• Find and work with motivated buyers
• Be an expert on the economy
• Be an expert on your local real estate market
• Listen to your buyers
• Find houses priced correctly and in good condition
• Show buyers homes that match their needs and wants
• Assuage fears about buying
• Find solid financing

So how does one become and EXPERT in the market

1. Invest time in research
2. Know the inventory of your farm and surrounding area by previewing properties each and every week. This will save yourself time and gasoline when you take buyers out
3. Take customers directly to the best buys
4. Buyers will have more confidence in you when you only show houses that meet their needs and wants

Create a BEST-BUY LIST

Where do you find the BEST-BUYS

1. REO's
2. HUD Exchange
3. Foreclosure Lists
4. FSBO's
5. Price reductions in the MLS
6. New homes on the market
7. Builder's promotions

Do your homework and track your best buys

1. Time on the market
2. List Price
3. Condition
4. Selling Price

Use your list

1. Don't give the list out, offer access to best buys
2. Show houses on the list to your customers - these are the houses that will sell fast

During the buyer consultation, you need to remember the following:

1. Ask about their needs and wants
2. Ask about their motivation and urgency
3. Listen to what they tell you
4. Discuss advantages of home ownership

When preparing to show what they can buy, remember the following:

1. Know what they need and want
2. Match their needs and wants to best buys
3. Get their feedback on homes

To facilitate their decision making process, keep the following in mind:

1. What they need and want
2. How features will improve their lives
3. Their motivation
4. Cost of waiting

Remove their fears of buying by:

1. Providing a CMA on each property that they are prepared to make an offer on
2. An appraisal

To help eliminate their fear of commitment, offer the following:

1. An option period to back out
2. A buyback guarantee
3. An offer to sell it for free within 1 year if they are not satisfied

To help them in their offer, consider these terms to make the deal fly:

1. Improvement allowances (carpet, paint)
2. Pay early move-out on renter's lease in the offer
3. Pay mortgat on buyer's home for a period of time
4. Pay buyer closing costs
5. Lease-purchase options
6. Mortgage buydowns
7. Seller financing
8. Extras (electronics, car)

The bottom line

1. Be an expert
2. Educate your buyers
3. Articulate why this is a great time to buy
4. Assuage buyers' fears
5. Create a best-buy list
6. Show houses that meet your buyers' needs and wants
7. Facilitate a decision to buy

Happy Production