Busy markets can be challenging to navigate as an agent. Supporting your clients is always important and here are some tips on how to do just that. We again collaborated with agent Leah Azizian, Head of Business Development of New Developments at LG Fairmont, to hear her thoughts on busy markets and agent's roles.
During a busy market clients may need additional support when it comes to closing deals and navigating the market. As Leah Azizian stated, "as agents, our jobs are primarily to be clients' advisors." Being an advisor at its core means support and guidance - which is where an agent is invaluable during any buying or selling process.
From the Get Go
Before doing really much of anything, it's time to financially prepare your clients. Becoming financially prepared means getting pre-qualified and pre-approved for the financial situation of buying a home. If a client is not financially prepared - it makes supporting them that much harder during busy markets. Why? It sets everyone up for disappointment.
It is the agents responsibility to assist the client with organizing their finances in order prior to beginning of their search, especially in a hot market like we are experiencing right now. Azizian advises that if a buyer "knows he or she will need to receive a gift, or co-purchase, ensure these conversations are had as soon as possible."
"The last thing you want for your clients is for them to see a property they love, want to submit an offer, and realize only then that they are not financially prepared to move forward."
Leah Azizian
Another important thing for agents to do is maintain relationships. Maintaining relationships with other professionals goes hand in hand with supporting clients. Especially in a busy market, collaborative relationships with listing/selling brokers, lenders, etc. are invaluable. While this is doing good business - in hot markets these relationships are what close deals. Be the resource that your client needs you to be.
"Negotiations will flourish and the best value is achieved on both sides when all parties respect and work together amicably towards closing."
Leah Azizian
Don't forget to be creative when it comes to these markets. Find homes your clients may not have originally thought of and share them in order to open their minds towards what may make them happy as homeowners.
Seeking to Understand
As an agent, it's your job to guide and support your clients. A lot of this is helping them understand what is going on every step of the way. Markets can be tricky, all of the contract lingo can be confusing - the works. Especially in busy markets, helping your clients understand the current market value and pace is crucial.
During our discussion, Azizian pointed out a very important note In busy markets. She remarked that "busy markets with low inventory, such as now, it can be difficult for your clients to understand the value of a property and why they are selling at such values." This is important when it comes to supporting clients because when clients understand - they are less frustrated. Busy sellers markets can be discouraging for buyers, but if agents walk them through the realities of the situation; it helps.
It's important to explain the two factors that contribute to the value of a property. Azizian points out these two factors clearly. The first being the comparables, aka the properties that have recently sold in the area. Any agent can pull comparables and go over them to get an understanding of an area and what buyers may be up against. The second factor is a buyer's budget. A budget can be the most difficult part of supporting a buyer. Budgets are emotional, can be frustrating, and at times limiting.
By going over the budget ahead of time, looking at the comparables, and evaluating realistic neighborhoods the best case scenario is attainable, even in tough markets.
Sometimes, regardless of a budget, buying becomes emotional. Oftentimes buyers will fall in love with a home and spend more than they had originally anticipated. It is an agents job to walk them through this process as well and understand what is worth it to the buyer.
Flexibility is Key
This is a hard one, but work with your buyers to understand the sellers. By encouraging the buyer to be flexible with negotiations and contingencies - deals have a higher chance of closing.
Any good agent in a hot sellers market knows that the way to make a bid stand out is to be flexible. Azizian reminds us, "by removing or placing minimal contingencies in your offer, such as the inspection, appraisal or mortgage contingencies, a big will stand out and better position" as a buyer.
At the end of day, all agents want to be as supportive as possible to their clients at all times. During busy markets this requires more creativity but is worth it to serve buyers to the best of your ability.
Leah Azizian LinkedIn
Leah Azizian LG Fairmont Profile
Have a comment, tip, or concern?
Thanks for reading Elite Informer! Here's more where that came from.