Jim Valentine: The Truth in the Offering
Jim Valentine on real estate
Sports have many such practices, both written and principled, as did politics before the scorched earth campaign took hold. Real estate has it too.
With the extreme competition experienced in the northern Nevada real estate market this year, we have seen many people do various things to separate themselves into the market. There is an old adage, “all is fair in love and war”, but neither is it, it is a business venture that can invade the business acumen of its people. participants through emotion. This can be agents as well as buyers and sellers.
If you have a buyer selling their home to a cash buyer, all the inspections are done and everything is signed off, and their loan to buy your home is dependent on the sale of their old home… it’s a conditional sale. No matter how safe you are told, it still depends on the sale of that home and should be so disclosed and contracted in any offer you make.
As the saying goes, “They could get hit by a truck! Don’t try to compete better by eliminating such important information, call the other agent or detail the situation in an email and provide the supporting documents for the sales transaction for them to review.
If you have a strong borrower who pays in half and gets a loan that doesn’t need an appraisal, it’s still a transaction that depends on the buyer getting a loan. No matter how strong they are as borrowers, things do happen. Policies, practices and procedures change for lenders all the time, sometimes they even run out of money to lend.
If you are writing a “cash” offer and it really depends on the buyer getting a loan, you are not being true. Yes, the seller will get all the cash when the escrow closes, but that doesn’t make it a cash sale. This is one of the oldest tricks in the book and it is shameful when used.
Another sad practice of unscrupulous agents is to offer to list a home at an unrealistic price to entice a seller to list their home.
It is one thing to be listed at an “ambitious” price in a dynamic market like the one we have recently experienced in northern Nevada, but there should be reasonable expectations to meet or approach the price. . The old practice of listing high and beating the seller week after week to get cut after cut until they hit a realistic price where they would simply sell isn’t fair. This creates unrealistic expectations for the seller and wastes their time and, if the market changes, could cause them to lose the opportunity to sell in a favorable market.
There is no right way to do the wrong thing. Whatever your situation, always maintain your integrity. Play straight and your customers will benefit from the goodwill you generate on the pitch. When you are upfront and forthright things turn out better and if something goes wrong there is a healthy relationship in which to work things out rather than the doubts created by bad faith “negotiation”.
You don’t win if you take advantage of someone who trusts you to do the right thing and you don’t. Who loses ? Your client above all, and you, ultimately, for your career in real estate will be cut short.
The system is working. Trust that everyone will do the right thing and act accordingly.
The real estate industry has high standards, especially those affiliated with the National Association of Realtors, of real estate agents, and most adhere to them. There are a lot of new agents learning their trade and the good ones will learn the right thing and make a living from it. It’s just a by-product of a vibrant market when people think it’s a good time to enter the business.
When it comes to choosing professionals to support you in your real estate needs… Experience is priceless! Jim Valentine, RE / MAX Realty affiliates, 775-781-3704. [email protected]