By Tracy Jones, Contributing Writer
There are many moving parts in a real estate transaction, and friction between clients and Realtors can make the simplest of deals derail quickly.
According to the 2015 National Association of Realtors Profile of Home Buyers and Sellers, about two-thirds of homebuyers in the past year would consider rehiring their Realtor the next time they purchase a home. For those who said they wouldn’t be a repeat customer, many said a poor relationship was the cause.
Local real estate professionals say learning how to work with more demanding clients by using various methods is essential to succeed in the business.
“Every single transaction is different,” said Marc Jernigan, president-elect of the Northeast Florida Association of Realtors and a broker associate at Exit Real Estate Gallery. “Some are very good and some are very challenging. … It’s up to us to adapt to the personality of the person you’re working with.”
Consider the customer
Jernigan said about 80 percent of his customer base comes from referrals and repeat customers — a number he attributes to courtesy, conducting his research before meeting clients and following up after a sale. He often maintains those relationships after a closing.
He recommends having a face-to-face meeting with potential clients to get a better idea of the type of property that would suit their needs before any showings.
At Watson Realty Corp., Trey deMoville, director of training and development, teaches about 1,500 agents on various topics, including how to build solid relationships with clients.
A common mistake he sees is Realtors who assume all buyers are the same, have the same expectations and want the same thing in a property.
“(Realtors) do this for a living and see buyer and buyer and seller and seller,” he said. “Everybody is an individual and has their own wants and needs.”
A tactic deMoville relies on is encouraging associates to discover more about a client than just what they want in a home, like a hobby or special interest, because it may be what sets them apart.
“There’s very little loyalty with buyers and sellers and agents,” Jernigan said. “It’s very important to adapt and learn to their style.”
Communication is key
“I firmly, firmly believe proper communication solves 95 percent of our issues,” Jernigan said.
An inability to change or tailor communication with each customer could cost the sale, he said.
Allow the proof of nearby comparable properties’ prices and sold values, pictures and explain the appraisal process to help eliminate tension in pricing, Jernigan said.
There are more than two million Realtors with active licenses in the U.S., according to the Association of Real Estate License Law Officials, and about 221,000 in Florida, according to The Tampa Bay Times.
With a market flooded with other options for customers, as well as burgeoning online real estate tools, a contentious relationship could easily end the professional relationship.
Janna Thomas, renovation manager and mortgage banker at Bank of England in Jacksonville, said many difficult client relationships can be solved by relying on traditional sales techniques.
“As a professional, we should be able to communicate on any level –– our job is to be able to communicate,” said Thomas, who also is chair of the Northeast Florida Builders Association Sales and Marketing Council. “You can never over-communicate, but you can under-communicate.”
Ulrich Leinhase is an agent with Mandarin’s Planet Earth Realty and also owner of Maximum Success Inc., a school he started in 2003 to help those in real estate better understand customers.
Leinhase said he’s seen many Realtors rely on texts and emails to communicate, which aren’t as effective as face-to-face meetings, he said.
“I talk about three magic words — stop, look and listen,” he said. “Stop looking from a salesperson perspective, stop talking and listen to your customers.”
By simply listening, Realtors will gather clues. But there are other ways to determine what a customer wants, Leinhase said.
“Too many salespeople see things through their own eyes,” he said. “You have to look at things from their perspective and have to ask questions.”
Look for cues
At his school, Leinhase teaches how to observe clients to learn the best way to work with them.
Noticing physical clues, such as the position of a customer’s eyes as they respond to questions, maintaining eye contact and using positive body language can allow customers to think a Realtor cares about their business and needs.
Paying attention to a customer’s response also can be very telling, he said. Leinhase recommends looking in the mirror and responding to different emotional prompts to learn how people often respond to certain situations.
“The more of these you do, it will become easier and easier to see how people react,” he said.
“A Realtor putting themselves in their customers’ situation also can pay off,” he said.
Both sides of the deal
Shannon McKinnon, a Realtor with Berkshire Hathaway HomeServices Florida Network Realty, said she’s seen negotiations be the source of bad Realtor-customer relationships.
According to a study by the American Psychological Association, nearly 75 percent of people are willing to negotiate rather than risk losing a deal. Getting past personality clashes and miscommunications is key.
“There’s a lot of different team players in a real estate transaction –– it can sometimes be difficult,” said McKinnon, who also is a certified real estate negotiator. “There are so many parts and people you have to interact with to get a transaction done.
“If you’re not open-minded and willing to work through the hardships to get the transaction … it can be a mess,” she said.