Turn a “no” into a “yes” by understanding your client’s mind and motivations
By Andrew Conner
When it comes to negotiating a deal, particularly for the often-emotional process of buying or selling a home, it’s especially vital that real estate agents connect with their clients on many levels. First, you must establish commonality, then build rapport and a professional level of trust, and finally, find the empathy that you need to truly understand a client’s motivations so you can help them make the right choice.
Person to Person
When you receive a “no” from a client, there may be many reasons behind it. Sales guru Hilary Hinton “Zig” Ziglar famously identified five basic obstacles to making a sale, and all of them are no’s: “no need, no money, no hurry, no desire, [and] no trust.” Even assuming this list is exhaustive—which it isn’t—it’s clear that understanding a client’s motivation behind a rejection is necessary to turn it around.
As a real estate agent, to understand that motivation you must build a rapport with your client so they feel comfortable with you and will eventually trust you with their money and their emotions. Opening this bond with a client is the same as it is with other people you meet, whether you’re at a dinner party, your child’s soccer game or the office.
“You need to find something in common with the other person,” says Tim Burrell, JD, CRS, with RE/MAX United in Raleigh, North Carolina. “You can do this with virtually any person, even if it’s down to the fact that you both breathe.”
Beyond breathing, Burrell points to simple, small-talk topics that help create that initial commonality between you and the client: sports teams you enjoy, experiences with children or grandchildren, where you grew up or hobbies, among others. Once you’ve created this commonality, Burrell suggests making that bond deeper by establishing a closer relationship and showing your expertise.
Building Trust
To get to the heart of a client’s motivation, they need to trust you. Burrell quotes Ed Hatch, CRS, who described this type of rapport as “the connection between people through which the truth passes.” To achieve this, you must empathize with your client and respect their situation and position. Instead of pushing them toward the decision you think is correct, ask them questions about what they envision as their ideal home or ideal buyer, what their usage of the home looks like or what a dream offer would be for them.
Michele Bailey, CRS, REALTOR® with Hilary & Reverie in Watersound, Florida, says that being an area expert also helps establish trust. For Bailey, who works in Florida’s vacation-friendly region along Scenic Hwy 30A (including Destin and Panama City Beach), marketing is the differentiating factor when working with buyers and sellers, as many of her clients are absentee owners. A solid strategy that shows proficiency in the market helps bridge the gap when buyers or sellers have differences of opinion on pricing or approach.
“Most people appreciate it when you can explain things they might not have thought about,” Bailey says. “For example, in our market, property management policies can be an issue when selling a vacation rental home—you may only be able to show a property on a Saturday after check-out time and before check-in time, which limits access for buyers to view it and can affect time on the market.”
Bailey explains that creating an exclusive showing package for listings she represents is another way she establishes a strong rapport between herself and her customers. This package includes rental histories or projections, utilities and other details, and provides the buyer and their agent with an estimated “cost to own.” Not only does this give the buyer the confidence to make an informed decision, it also makes the seller aware of the different factors that Bailey takes into consideration when evaluating a home. Having a comprehensive view of their property in comparison to competing properties helps sellers understand the marketing and pricing strategy.
Find the “Why”
Both Burrell and Bailey agree that, ultimately, to get a buyer or seller off the fence you need to understand their “why,” or their motivation for being on the fence in the first place. Bailey explains that due to the nature of representing vacation and rental properties, it takes an investment of time in nurturing the relationship before she sees the conversion from a “no” to a “yes,” and unearthing the client’s “why” is always the first step.
“Questions for buyers like, ‘If we’ve been vacationing here for 10 years, what makes now the time to buy?’ or for sellers, ‘What makes now the time to sell our home? Are we not using it as much or are we upgrading to a larger space to bring the grandkids?’” says Bailey. “When you understand what’s motivating them, you can be a better agent. Your clients feel more valued and they feel listened to.”
Burrell says sometimes it helps to just “shut up.” When you’re having a conversation with a client, asking key questions like why this house would be better for their children or why they feel they can’t list the house under a certain price, it can be tempting to jump in to fill silences,” Burrell says. “But if you let your clients talk, usually they’ll tell you. And the more they tell you, the easier it will be to determine what they really need to make a decision.”
Bringing It All Home
After you’ve established a good relationship with your client and learned their motivation for buying or selling, getting them to move from a “no” to a “yes” is the next step. Burrell recommends helping clients visualize their “why” and contrasting that with the usually comparatively small hurdles to getting there.
“Find out what motivates them and then use that to persuade them, but be sure to respect their situation—you don’t just go hitting people over the head with it,” Burrell says. “For example, you learn their annual Christmas party with family is important to them and ask how this beautiful kitchen will help them create a warm, delightful atmosphere for that event.”
When doing this, you can contrast their desires against their problems. Is it worth it to let an issue such as an old water heater or broken toilet in the basement that can be fixed for less than $1,000 stop them from the experience they want? For most, the answer will be no. Burrell also suggests leading them to this realization on their own, if you can. Ideas always sound better to clients when they’re the ones who come up with them.
However, as Bailey explained, the process can often take months or even years. To offset the time factor, she nurtures the relationship with her current and prospective clients through traditional methods such as e-newsletters and updates on news and regulations that affect the market, as well as social media, personal notes and phone calls. This is especially helpful in her market where many buyers and sellers don’t reside full-time.
While sometimes rejection is unavoidable, if you create a strong relationship with your client, you’ll have a good opportunity to get them off the fence. And even if it looks like they’re sticking to “no,” the connection you’ve created could still pay dividends in the future.
Learning from the “No”
Focusing on how you can take a client from “no” to “yes” is important; however, it’s inevitable that you’ll receive some firm rejections. If you find yourself hearing “no” a lot, it can help to examine your process. Use these two tips to turn your rejections into learning experiences:
Talk shop. Get together with a peer or colleague who you trust to give you honest feedback and go over your pitch with them. You might want to ask if it’s too long, if you’re not being detailed enough, or if you are making your experience and expertise in the market clear.
Make the grade. After a client gives you a firm “no,” ask them to grade their experience, or evaluate it on a scale of 1-to-10. If they don’t give you top marks, ask what you could have done to improve. If what they want is something you can provide, this may also help you turn that “no” into a “yes.”
Nurturing relationships can help you turn a “no” into a “yes.” Visit our education catalog at CRS.com/learn for helpful resources.
