Question Of The Month


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  • | 12:00 p.m. June 13, 2006
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Have you ever had to “fire” a customer? What was the reason?

How did you handle it? What was their reaction? How did you feel once it was over? How did they feel?

We submitted these questions to our panels of experts and here’s what we got back.

And thanks to Dan Daniel of Prudential Network Realty/Mandarin, who suggested this month’s questions.

“Yes. The client was unreasonable in their expectations with regards to pricing and timing on the sale of their property. Additionally, he ran roughshod over my people. My people work hard and hold the client’s best interest at the forefront. You have heard ‘Fish or Cut Bait’. I suggested that there might be another agent/firm that could better represent him. I sent him to a competitor.”

- Kate Clifford, Strategic Sites

“Customers should be held to the same standards of ethical behavior as we as real estate professionals are held. We have on more than one occasion terminated our relationship with a customer who behaved inappropriately. How is it handled? Direct, upfront and straight. The customer’s reaction and how they felt is irrelevant because when a customer’s ethics and honesty is questionable, the matter is final.”

- Andre J. van Rensburg, Steer Realty Group

“I had a customer several years ago that in a very rude manner challenged everything that I told her. After dealing with this over several phone calls and meetings, I called the customer and explained that she needed to consider using a different lender because I could not continue to be treated in such a disrespectful manner. Ironically, at that point, her whole demeanor changed and she basically begged me to keep her loan. I agreed under the condition she maintain a respectful attitude towards me for the remainder of the transaction. She did and the loan closed without a hitch!”

- Ben C. Bishop, Bishop Lending Group, LLC

“I had a seller who was upset over a minor item, and became very abusive over the phone. I told him that he did not have my permission to talk to me that way, and I would be canceling the listing agreement that afternoon. It was during my second year of real estate that I learned once a seller crosses the line, they will continue to be abusive no matter how hard someone tries to please them. Life is too short to deal with unreasonable people.”

- Gary Harlow, Realty Executives of Jacksonville

“Yes, I have had to fire a customer that came from a great source. The buyer claimed he was purchasing a primary residence here in Florida, but he currently had a primary residence and job in California and did not intend to leave. After pulling his credit report, it was apparent that he had numerous other investment properties around the country and this new purchase would be also. I explained to him that I would be glad to do the loan for him, but it would have to be as an investment property unless he could verify otherwise. He quickly let me know that there were several other brokers in town who look the other way on the property and I gladly let him retract his application and do so. With so much fraud in the industry it often makes it hard to compete, but I base my business in ethics and feel confident it will pay off in the future.”

- Aleia Haney Grantham, Beckman Mortgage Company

“Yes, I had to fire a customer several years ago. There were a couple of reasons. First, she was very negative and on two occasions got very angry when a seller did not accept her very low offers. She said where she came from this was how it was done. She also expected me to pick her up and take her home, a distance of 5-6 miles because she ‘couldn’t afford a car and the bus wasn’t convenient’. Also, I did not like her. I told her that I was not the right agent for her, and that I would be happy to refer her to someone else. [Actually, I would have paid them to take her.] Her reaction was, as nearly as I can remember, disbelief. Mine was pure relief. I have no idea how she felt.”

- Toy Scott, Norville Realty

“It has not happened often but yes, we have chosen to withdraw from our working relationship with a customer before. The reason was that the road goes both ways. Not all customers feel good about their relationship with their Realtors and vice versa. If it is apparent, after trying everything you and your broker/manager can think of to please your customer, you can’t make it work then it is time to let them go elsewhere and attempt to be happy. If it comes to this, the customer is most likely in the same frame of mind. A simple conversation is in order stating that it might be best for all parties involved for the relationship to end. Wish them well, ask for their signature on whatever form your board/office uses and go on to the next deal! We didn’t ask how they felt, but they probably felt as relieved as we did. We can’t be all things to all people and if the situation is approached from a neutral position, before things get out of control, everyone seems to move on without hard feelings.”

- Dee Chaplin, Prudential Chaplin Williams Realty

“I have never fired a customer. I realize not to take the attitudes personally with the difficult ones. Their ugliness is due to events in their lives, not me. If you ‘kill them with kindness’, it is possible to work with them even if they are grudging about it. And sometimes those most difficult customers turn into the most loyal because you stuck with them and didn’t take offense.”

- Carolyn Minor, Homes and Land Magazine

“Yes, I fired a customer who, after two months of having his house listed during the Christmas holidays, got pretty nasty with me because the house, although overpriced, was not being shown as much as he had expected. He was surprised when I went over and took the sign down, the lockbox off of the door and returned his key and told him that I could no longer market his home. He gave me a hug and told me how he wished I could have sold it and that I should come by to visit them in their new home. I liked these people very much but felt it was in their interest and my interest that we not continue our business relationship. Then, three months later, after he had listed the home with someone else, he called to tell me that company had fired him also. Alas, he wanted me to re-list it. However, I believe that he is presently trying to sell the home himself. How did I feel after the firing? Relieved. How did he feel? I hope that he understood.”

- Pat Braden, Coldwell Banker Walter Williams Realty, Inc.

“I have got to chime in on this one! I was once working with a couple and primarily with the wife. They lived in the Northeast and were looking to relocate and live in the Amelia Island area upon his retirement. After showing them properties all over the island, they decided that they wanted to end up in either Amelia Island Plantation or Summer Beach. While showing a home in Long Point to the woman and her grown daughter, which neither of them liked because of its proximity to the community pool, they both commented on a home a few doors down that had a red metal roof that they both thought would be ‘perfect’. Taking the initiative, I went on to the Amelia Island Plantation website and was doing a search of their listings when I came upon the home with the red roof. I printed up all the information I could from their Web site and called and left a message for my customer at the hotel where they were staying, saying that I would be dropping off information on the house with the red roof that they both thought would be perfect, as it was for sale through Amelia Island Plantation Real Estate Sales. Before I could leave my office and get the material to her at her hotel, she phoned me and said, ‘Have you dropped by the information on the house with the red roof yet?’ I told her ‘No, I was just getting ready to leave the office and come to your hotel to leave the information.’ She said, ‘Don’t. I have never had a Realtor provide me with information that I have not directly requested before!’ She was obviously angry and upset and went on to say, ‘I don’t think we are communicating! I am not pleased that you would print up this information that I did not request and I don’t think, you are the Realtor for me. At which point I replied by saying, ‘You’re right, I don’t think I am the Realtor for you as I was taking initiative and going above and beyond what was expected of me and this upsets you. Perhaps you should find a Realtor who isn’t willing to do more than what is directly requested of them, as I am not that type of Realtor.’ In essence, she fired me and I fired her right back.

Funny thing is that a few months after that, she called me and wanted to work with me again. I suppose she decided that she shouldn’t have been so offended with the fact that I was trying to go above and beyond the norm for her and her husband, but then again she may have fired another Realtor after me or they may have fired her and then she decided to give me another try. Who knows? People are funny sometimes.”

- Kathy Garland, RE/MAX Professional Group

“I listed a $339,000 home in a great neighborhood. As offers came in, including several very strong ones, my customer would reject them without even thinking about a counter. Finally, I brought him a full price offer and he said he didn’t want to deal with it because he allegedly had some personal issues occupying his mind. I told him he was wasting my time, effort and money and that I would withdraw the listing, take the lockbox and sign down. I also told him that if he ever wanted to list it again that he should find another Realtor.”

- Tom O’Connell, Watson Realty, Amelia Island

“Five years ago I got a referral from New Jersey. I spoke with the husband three or four times and after three weeks they came to Florida. He was very specific that he did not want to be close to Jacksonville. He wanted the south end of St. Augustine and a golf course. She called me on Friday night to tell me they were in Jacksonville visiting their daughter who had just had a new baby and would like to come early on Sunday morning to see property. I asked them to come on Saturday so we could get into the new home models she was interested in. She informed me she had to spend the day with her daughter and new grandchild. I made arrangements to show her property on Sunday morning. I made early appointments for re-sales and set up models for the afternoon. They had an appointment with me for 8:30 a.m. and our first showing was for 9:30 a.m. They showed up at 10:30 a.m. with a handful of computer printouts she wanted me to check out before we left. I researched the printouts. They were all sold except for one. I made an appointment for that and told them we were ready to go. Then she says ‘You don’t need to show me any new homes. I looked at all of the homes you sent me yesterday and registered myself so you can’t get a commission. I want to see only concrete block homes with below-grade drain fields.’ I then informed her that every one of the homes she had indicated she wanted to see were wood frame with above-grade drain systems. Therefore, we had nothing to look at and she could go back to Jacksonville. Maybe she would have better luck up there. She got very belligerent and nasty and threatened me. Her husband just sat there smiling. Finally, I told her the great thing about being an independent contractor was that I could choose who I worked for and, at this time, I was not going to work for someone with her attitude. I told her goodbye and left the office. She told my receptionist she would file a complaint and blacken my name in the industry and make sure I never worked again. Two days later her agent in New Jersey called to tell me how upset the customer was with the way I had treated her. Then she informed me that they had bought a home in Jacksonville on Friday before they came to see me. She was only trying to convince her husband that the house in Jacksonville was the best deal. The moral of the story is that I now will not show property or do open houses on Sunday unless I have a really dedicated and loyal customer. I find that customers on Sunday are usually spending time looking and will work with their ‘professional agent’ during the week. So, now I am one of those ‘professional agents.’”

- Linda B. DeGrande, Re/Max 100 Realty

“I had an investor who would call me all of the time wanting to submit low offers that would never stand a chance of being accepted, including ones that were bank owned and generally close higher than the initial bidding price. After forwarding him the closed histories of these properties [which were higher than the initial bids], telling him that I did not think I was utilizing my time effectively and that he needed to pursue another agent, it finally sank in and he began to make reasonable offers.”

- Benjamin Jones, Kent Realty

“After 24 years of mortgage lending I have had to fire several customers. One in particular I remember from around 1993. This customer was untruthful in the information provided on her loan application and became abusive to my loan processor when she felt she was being challenged. The issue that made me decide to terminate the relationship was when she fabricated stories to my Realtor referral partner that suggested that I was the problem and that she was being treated unfairly and abused. There is nothing more important than trust between a Realtor and their loan officer. I called the customer and recommended that she take her business elsewhere. She agreed, but I am sure that she thought I was crazy. Giving up that commission was tough, but ‘You have to know when to holdem and when to foldem’. In sales there is a great feeling that comes from controlling the negative aspects that inevitably come from success. Sales professionals should never allow themselves to become a doormat in the name of ‘service’.”

- Curtis Ford, Wells Fargo Home Mortgage

“I have never had to fire a customer, but have come close. As I am in the business longer, I realize that I don’t have to put up with some customer’s rudeness. Sometimes it is just not worth the aggravation. Life is just too short!”

- Josie Deal, Coldwell Banker Jasinsky and Associates

“Several years ago, I had buyer who seemed to be an absolute angel. Her husband and I had looked at several condos and selected four to show the next day. When we were looking, her whole personality morphed into a creature from the nether world. She was critical of all the properties, even insulting to one of the sellers who happened to be on their patio while we walked through. I became a little agitated and asked her to please calm down. While driving them back to their vehicle, we passed a unit that was being put on the market at that moment. The Realtor was placing a sign in the window. She yelled for me to stop. I stopped, recognized the agent, and directed them to allow me to ask permission to show the unit. She told me that she had some customers on their way to look at it, but we could do a quick tour. My customers got out and the wife proceeded to harangue the agent about price and condition. As she went upstairs, the other agent’s prospects came in. My group was upstairs and when she realized that the ‘competition’ was downstairs, she proceeded to yell that there were ants and termites in the bedroom. The other agent was furious. She called me down and asked us to leave. When I was finally able to corral my people and get them out, I said nothing on the ride back. From the backseat, the wife asked if something was wrong. I stopped my car and lectured her about her behavior and her attitude, and how both of those characteristics reflected on my and my company. And as far as I was concerned, they could find another Realtor to embarrass. I asked them to get out of my vehicle and left them standing in the parking lot [near their car]. I called the other agent and apologized for them and told her what had happened. She thanked me for my consideration and hung up. The story should end here but, two days later, the husband called, apologized to me for their rude behavior, and asked if I could please help them again. I laid out my conditions: that they would be civil, and respectful of other agents and their customers. They assured me that they would and we went back to work together. They bought three homes with me and I have referred them to one of my agents for another sale. Since then, we have become very good friends.”

- Paul Andry, Coldwell Banker Walter Williams Realty, Inc.

“As with any profession, real estate is a business, not a hobby. Therefore, we should handle our book of business like a business and work with clients who are going to positively impact our bottom line. If that means releasing an unmotivated seller from a listing or telling a buyer that they should look for another Realtor, I believe we should do it tactfully and without emotion. Sometimes, it works best for all by just telling a client that we are not the right Realtor for them, offer to refer them to someone who is better able to assist, and wish them well.”

- Phyllis Staines, Re/Max Coastal Real Estate

“I have fired three customers in my real estate career. One in particular stands out. It was an out-of-town retired couple and the husband had a meeting the first day that I was to show properties, so I took his wife shopping for homes. The wife was very nice but I could tell she was in sticker shock. There was no way they could buy a home like the one they were moving from in the price range that they had requested. After seeing her reaction to older homes, I thought it best to show new construction the following day. The next day I had both husband and wife in the car. There were plenty of models to view but after each one the husband would comment on the poor workmanship and the ‘crap’ that I was showing them. After viewing five communities in their price range and getting negative remarks, I suggested that they might want to bump the price range up a bit. He told me, ‘Either you will find the house that I want in the price range that I tell you or I will find it on my own’. He was riding in the back seat and I could see him in my rear view mirror. I could see that the blood vessels in his head were sticking out as he made this comment. After a few minutes, very calmly and in a friendly tone, I said, ‘You know, I appreciate what you said and I don’t think I can find the house that you want. I do not want to waste your time, so I am taking you back to the hotel so you will have time this afternoon to look on your own.’ His reaction was ‘OK, that sounds good’ and he was happy as could be. However, I think his wife was not happy with the situation and I think she gave it to him when they got back to the room. On my way back to the office, I started to feel guilty, so when I got to the office I tried to call them to say maybe if we looked further out we might find something. They had checked out of the hotel and were headed home. I was glad I stood my ground and did not waste any more of my time.”

- Jerry Alumbaugh, Re/Max Specialists

“From a lender point of view, I have only had to fire one customer. She was not telling the truth to me and would put nothing down on paper. She felt that the only thing we needed to know was her name and address and we should just lend her $100,000. I felt very frustrated because of her attitude. I did let her know that without additional information we could not pursue her request. She was extremely rude as her response and said she was going to another lender. I wished her luck in the future. I still see her in the grocery store and she pretends not to know or recognize, which is fine with me. I hope she solved her problem.”

- Susan Avon, National City Mortgage Corporation

 

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