Working With Low Dollar Buyers - Golden Opportunities
What a busy week! I wanted to take time out though and share some insights, Realtor tips and business strategy to help you grow your business (and provide some insights for buyers who are shopping low dollar properties for a single family home).
Low Dollar Buyers become High Dollar Buyers
Everyone has to start somewhere, right? Greg Hancock, my business partner, told me a long time ago, help people when they're just starting out and stay true to them, follow up with and stay in touch with them and you'll become their Realtor for life. This leads to increasing business with a growing pool of clients that refer and buy again and the average dollar tag of homes you work with goes up over the years. Make an investment in people, and stay invested and you'll realize a growing return.
Don't ignore low dollar buyers: Examples
1. The First Time Buyer: Very often, a buyer sets out wanting to buy a home, but with the idea of saving a lot of money and intending to do the repairs themselves. Perhaps they're looking at 40k or 50k homes but will need to finance. Most of these buyers don't realize they cannot do the repairs themselves if they are financing; federal law. This is where FHA loans come in handy for homes that need repairs. It's great too that buyers get a choice of colors and materials as well. Of course, once a buyer has closed on a home, they can "go to town" and begin customizing to suit.
2. They very often don't realize what they can afford. For example, if a buyer is paying $700 in rent, that's a home in the $125,000 range, and you can find a lot of decent homes in that price range in many Ohio neighborhoods. In your territory, a low dollar home might proportionately different.
3. Once a buyer, even in this growing market, realizes what's truly affordable, you have a chance to get them into a much better condition home that will meet their needs.
4. The highest compliment you can get as a Realtor beyond gratitude and the satisfaction of a job well done is referrals; ask for them. Stay in touch by sending useful and helpful articles revolving around home ownership once a in a while and in addition ask for referrals. 70% of clients forget who their Realtor was in the first year, and why some agents excel and other's don't. Try using a program like Constant Contact or Mail Chimp to help you stay in touch.