Getting to know your real estate clients will pay big dividends when it comes time to find the perfect home for the perfect price. Regardless of how many existing clients you already have or how many more you plan on getting over time, here are a few questions you should ask every new client.
Why do you want to buy a home?
Understanding why your client wants to buy a home and the motives behind their purchase can help you understand their needs without asking for them upfront. If you’re already dialed in to your market, you can immediately get some ideas for your client before you even start shopping homes with them.
What is your timeline on purchasing a home?
Another critical question examines how quickly a client is about to make their move. If they anticipate making a move in less than 3 months, you may need to expedite the process of getting their financing in line as well as finding the right home. More time isn’t necessarily better. Keep an eye on your market and know what homes are coming available in order to project those future purchases.
What is the price range for your home purchase?
A no brainer. Know what your clients are looking to pay before you even start the search for their new home with them. Going down the wrong trail can get you both lost and, in the case of short turnarounds, can really muck up the proceedings. Ask this one up front to avoid any surprises down the road.
Will you be paying cash for the home or will it be financed?
This will give you a nice insight on both your client’s financial situation as well as an idea for what you need to do moving forward for them to get approved for financing if necessary. A client willing to pay cash is likely in a stable financial situation or at least has significant equity in an existing home.
Do you currently own a home or rent?
Existing home owners are less likely to need a great deal of help along their home buying journey, but they may very well need assistance finding the right home from you. Renters, on the other hand, may not be experienced in home buying and may need more than a real estate agent. Be prepared to give a crash course on home buying to your renting clientele.
What is your current monthly housing expense??
A likely follow-up question to the rent/own question is how much your client spends on their housing currently and how much they are prepared to spend monthly. Some quick math can help you figure out how sizable their mortgage will need to be in order to meet their desires for monthly housing.
Where do you spend the most time in your home?
This can help really narrow down some of the homes on your mind’s short list. If a home buyer values family time over evening comfort, then key in on a home with a vast family and dining areas. On the other hand, if a family desires to spend more time apart, then a home with individualism and more private bedrooms could be the answer. In either case, you can get a gauge on what your client wants with this question.
What is on your wish list?
While this question may very well be one of the first you’ll ask, it certainly shouldn’t be left out. Once you’ve got the overall feel for your client and what they have needs for and desires of with their housing purchase, get down to what makes a home their home. Things like pools, fireplaces, gas or electric-powered appliances, and certain mechanical requirements may help you narrow down the list of prospective homes. Additionally, if the client has certain physical or geographic needs that need to be met, these things should be heavily considered during the search for a home.
The very thing that makes a deal very well could also be a deal breaker which means you should follow up with the next question.
Are there any deal breakers for you?
For some home buyers there are absolute no-no’s when it comes to their home purchase. A high proportion of renters or nearby apartment complexes can nix a deal in a heartbeat for some. For others, accessibility to local schools, parks, and entertainment may be a necessity. If there are any deal breakers, you need to know that in the beginning.
How long do you plan on living in your new home?
In today’s employment environment, this is a very valid question. If your clients anticipate moving for work, school, or family reasons in 2-5 years, you’ll need to know that before you begin searching for a home. A “temporary” client needs a temporary neighborhood where homes retain value and can be easily resold. This is a necessity not only for you as a realtor but for your clients as well.
Do you have a lender?
In many cases, clients will come to you without a lender in mind or maybe haven’t thought about it yet. If your clients need a qualified lender, consider sending them to Tidewater Mortgage. For you, it means knowing what your clients are prequalified for as well as having the inside scoop on their prequalification status. Tidewater Mortgage Services can get your clients prequalified the same day they call. Keep the ball rolling!
