If there’s one thing I keep hearing from agents all over the country, it’s this: “Debbie, I feel like I’m showing buyers endlessly, and they just won’t pull the trigger. They’re stuck, waiting for interest rates to drop. So, how do I get them off the fence and under contract?” This is the challenge when working with real estate buyer leads.
As we all know, first-time homebuyers can sometimes be a little challenging. They’re scared, may have less-than-perfect credit, might not have a lot of money to put down, and often have parents advising them and adding to the mix. There’s a lot of emotion and high drama. It’s a lot of work. Since I started selling real estate so young, I spent many years working with that type of buyer, and I believe it helped me develop more skill in taking real estate buyer leads by the hand and moving them forward.
The good news is, if you’re in the same position, working with a lot of first-time real estate buyer leads, they eventually become sellers. A few years later, I had a tidal wave of great listings. Then it really felt worth it.
These buyers who are stuck would love to time the market perfectly. But who can do that? Nobody has a real estate crystal ball. We also know real estate buyer leads get stuck in fear and hesitation. Years ago, I created an affirmation that helped me: “My job as a great salesperson is to help them overcome their fear and hesitation to achieve their goal.”
This isn’t about pushing people. It’s not about gimmicky, salesy tactics to force people into something. No, this is about being not just an order taker, but a true salesperson. It’s about diving deep in the consultation, knowing what real estate buyer leads need, what they want, what they can afford, and then moving them forward to achieve their goal.
One of the best ways to move real estate buyer leads forward is to use urgency. You can use time, scarcity, social proof, stories of others you’ve helped recently and how powerful those experiences were, and authority—like a Wall Street Journal article. Then, share the negative outcome or consequences of missed opportunities. Real estate buyer leads need to see the whole picture.
When urgency is effectively created, it instills a sense that there’s a limited window of opportunity or a pressing need to act quickly. If I know the real estate buyer leads are financially capable and reasonably motivated but just stuck on the fence waiting for the perfect moment, sometimes the simplest thing to do is get them pre-approved.
If they say, “But I’m not ready to buy,” I reply, “Not a problem. Why don’t we go ahead and get you pre-approved? That way, if by chance the perfect moment happens and the perfect property shows up, you’ll be ready and you’ll know your budget. That will give you peace of mind.” If real estate buyer leads agree to get pre-approved, here’s another thought: “Why don’t we go see a few homes to get an education on the market?” I know they have the money, I know they’re qualified, so I’m not wasting my time—they’re just hesitating. If I can show them a few homes, I can get the ball rolling.
Maybe they’re seeing properties they like and are excited to buy, but they’re still stuck. If I can help real estate buyer leads understand there is a window of opportunity right now, that can make a difference. I’ll say, “Mr. Buyer, I’m sure you can imagine that other buyers feel the way you do. They’re sitting on the sidelines, hoping for some big sign that this is the perfect time. But that big sign won’t come until it’s too late. When rates drop, buyers will flood back into the market. Right now, sellers are anxious for a buyer. Days on market are up. Sellers are more negotiable than they’ve been in years. But if we wait too long, that window of opportunity will close.”
Of course, it’s important to use this ethically and responsibly. It must be genuine, based on legitimate market factors and data, and tied to the motivation of your real estate buyer leads. Sometimes real estate buyer leads get hung up on appreciation: will it go up 5%, 10%? Will it stay stagnant? Especially with first-time real estate buyer leads, remind them that over time, you always do well in real estate. How much it appreciates next year or the year after doesn’t matter if you’re planning to stay there 10 or 15 years.
Third-party stories are powerful. Let me share one you’re welcome to borrow. When I was a young agent, about 20 years old, I had listed a little two-bedroom house. On the last day of closing, the sellers had packed their truck and the buyer backed out, saying they’d lost their job. The sellers were devastated and had to go because of a job relocation, so they were paying the costs. I had sold the house for $125,000. They said, “Debbie, if you’ll just buy it from us, we’ll sell it to you for $105,000 and still pay you your 6% commission.” That was a great deal.
My broker said, “You better buy it as a rental.” I didn’t really want to, and I was scared, but I trusted him and bought it. Then I got scared again when trying to rent it. A schoolteacher, who at the time I thought was old (she was probably 45), wanted to rent it for $750 a month. I said to her, “You know what, I don’t really want to own this. How about if I sell it to you for what I paid, which is a bargain.” She said, “No, no, no. Don’t want to buy it. Too risky. Real estate is way too risky. You’ll lose too much money.” So, I rented it to her.
We owned that property for over 30 years. A few years ago, we exchanged it for something that made more sense based on our CPA’s advice. Guess who still lived there? She did. I sold it for $810,000. She was paying $1,750 a month in rent, and it should have been $2,000, but I didn’t raise it because now she was a very elderly woman, a retired schoolteacher on retirement income. She lived there for 30 years. Crazy, right? She had to go live with her son because she couldn’t afford to rent anywhere else.
The path is in the math. Do the math. Your lender partner is so important here. You need a great lender who communicates well with your real estate buyer leads and can sit down with all of you and say, “Okay, if you buy today at today’s rate, here’s the payment. However, we can refinance at no cost when rates drop. Let me explain how a buy-down works. We could potentially negotiate for that. Let’s look at your tax savings when you own a home and pay interest.”
If we can help real estate buyer leads see the math, they can see that it’s doable. Sometimes with first-time buyers, you have to remind them: grab your piece of the market. Stop waiting for the perfect house. There are no bargains. Foreclosures don’t even represent 1% of the market.
So, for those bargain hunters among your real estate buyer leads, if you can’t bring them into reality quickly, they may not be worth your time.
No one can really time the market. If they want to buy or sell and can afford to hold the property for seven-plus years or in some cases, two-plus years, that’s fine. I’d be a little worried if someone said, “I’m only going to live in the area for a year and then I might have to sell.” Predictions are that prices will continue to gradually increase, but I might be worried about encouraging them to buy in that case.
Look at the mortgage calculators many lenders have and share their apps with your real estate buyer leads. These tools are very helpful for doing the math. Our other goal is to create a sense of urgency by focusing on value, benefits, and the lifestyle they are looking to achieve.
If real estate buyer leads have no motivation, there’s not much you can do. Someone asked, “Should we keep unmotivated buyers in the database?” Sure, why not? If you have a great CRM, like Brivity, you can put your real estate buyer leads on market reports and listing alerts and just let it run. Maybe you check in once a year or quarterly, or maybe you just let those auto plans run and let them call you.
You might want to write this question down: “How long are you prepared to stay in your current situation?” I’d soften it with, “I’m curious,” or “Please tell me, how long are you prepared to stay in your current situation?” We have to be careful when counseling real estate buyer leads and using a bit of tough love, especially if they’re doing things that are a little crazy or were asking intense questions. Soften your tone. Use question softeners: “I’m curious,” “I was wondering,” “May I ask?” Come from curiosity, not judgment. If real estate buyer leads feel judged, they’ll clam up.
Buyers give you timelines all the time: “I’m not going to do it until January.” Sometimes we say, “Okay, we’ll call you back in January.” Then we call them in January and find out they did it two months ago. Are they lying? Maybe. But often, real estate buyer leads give us a date that’s not actually real. It’s just far enough away to buy them some space from us so we’re not pushing. They think, “I’ll just tell them January, and I can always call them if I’m ready sooner.” Or sometimes, they get a “bee in their bonnet,” start thinking about it, get excited, and the plan escalates, and you don’t know.
I always want to figure this out. My question around this time frame is, “Is January okay? Interesting, I’ll make a note of that. May I ask what’s important to you about that time frame?” Here’s the thing: I’m looking to see if this is a true condition or just procrastination. A condition might be, “I just lost my job, and the lender said I have to start this new job and be there six months to qualify.” Or, “I just found out I need brain surgery next week, and the doctor said nothing stressful until after the end of the year.” That’s a condition.
But if real estate buyers say, “I think the market will be better,” or “I’m a little busy right now, I think it’ll be a better time,” that’s different. I’ll say, “Okay, not a problem. I’m happy to stay in touch and be of service at that time. May I ask one more question? If you examined the market, the data, the numbers, and saw there was a true financial advantage in doing it sooner, could that be something you’d consider?” If they say yes, then we move forward: “Let’s get together, talk to a lender, get the facts and the scoop on the financial market, and look at what’s available in your price range. If nothing else, you get a head start.”
At the end of the day, we cannot want it more for them than they do. If there’s a true lack of motivation and desire, you may have to let them go. We have to determine their needs, wants, and motivation, and make sure three factors are present: Are they ready, are they willing, and are they able?
Readiness relates to motivation: “It’s time, I want to get on with my life.” Willingness is a sense of urgency: I call them, they come see properties; I ask them to meet with the lender, they meet and get pre-approved—they’re willing to take steps and action. I also like to ask, when real estate buyer leads are deciding what to offer, “What is the most you’re willing to pay to hopefully prevent another buyer from taking the home away from you?”
Able relates to financial capability and credit. Always be prepared to refine the search criteria of your real estate buyer leads. If there’s very little inventory in what they’re looking for, try to get them to expand their cities, towns, or neighborhoods. Try to reduce features—if they want five bedrooms, could they live with four? If they want a pool, could they live without it? If there’s very little inventory, open up their options by expanding areas or raising price points. If there are too many matches, go the opposite direction. Ask, “What is your number one area choice and your most specific criteria?” If you can’t find it, then expand later.
My personal rule of thumb (may not work for everyone) is that any real estate buyer leads I’ve been diligently working with, who are motivated, pre-approved, have done the consult, and committed to work with me, after two to three weeks and multiple showings is not making offers, it’s time for a re-consultation. I don’t want to just leave real estate buyer leads on listing alerts and hope something comes up. I want to be proactive.
Remember, you have a greater ability to spark action among your buyers than you realize.
