Real estate investors are always dealing with a cycle of potential buyers coming in and out of their lives. A great real estate investor will patiently answer questions and build a rapport with a potential buyer. This process takes time and effort and may include several private home showings, outings to lunch, and other appointments.
But how do you know if a buyer is worth all the effort? There are some telltale signs to help you know when to invest your energy, and when to move on. Here’s how to tell if a buyer is just not that interested:
1. They Don’t Have a Pre-Approval Letter
If the potential buyer doesn’t have a pre-approval letter, they probably aren’t serious about buying. A pre-approval letter indicates the buyer wants to be competitive against other offers and speed up the process. They’ve done their due diligence and are ready to take action when the right house pops up. Those without a pre-approval letter are probably just getting their feet wet or looking for fun.
2. They Low-Ball Their Offer
If a buyer really wants to make sure they land the house they’re after, they’ll try to make an offer that can stand up to the competition. A lowball offer shows they’re just seeing what would happen if they throw out a number that’s unrealistic.
3. They Aren’t Represented by a Realtor
Realtors help to answer questions and make the home buying process go much more smoothly. Since sellers are the ones who give a real estate agent their commission, this is a free service for the buyer. Any buyer without a realtor probably is not serious about buying a home.
4. They Just Started Looking For a Home
Most buyers take several months or even more than a year to land the home they’re after. Those who’ve just started looking likely aren’t ready to buy. Unless they show other signs of interest, they’re probably just getting to know the market.
5. They Come to an Open House
Serious buyers usually shop online and then contact a realtor for a private showing. Those who are at an open house often are doing it for fun, or to compare the home with other options so they have a better feel for what’s out there.
6. Their Property Visit is Quick
Those who quickly rush through a home probably aren’t interested in buying it. They may have noticed things that didn’t fit their wishlist right away, so they’ve already written it off and just want to get on with their search.
7. They Don’t Ask Any Questions
Buying a house is a big deal, and serious buyers will have plenty of questions for you. If they’re really thinking about making the home their own, they’ll want to know about the history of the house and more.
8. Their Body Language Shows Disinterest
Body language can communicate just as much as any actual conversations you have with your potential buyers. If the buyers have their feet turned toward the door, arms crossed, or avoid eye contact, this could be a sign they’re not really interested and would rather leave than continue any more discussions.
9. They Don’t Set Up a Second Showing
Though competitive markets may force buyers to give up this luxury, most serious buyers will want to see a house at least twice before they seal the deal. The first walk-through is to narrow down options, while a second showing helps to answer questions and learn more about the details of the home.
10. They Are Alone
Anyone who is planning to buy a house will probably bring a backup crew to help them make such a big decision. Even if the person isn’t married, they may bring a parent, friend, girlfriend, boyfriend, or another family member to give input.
Get More Tips From Real Estate Elevated
By following these tips, you’ll optimize your time and be sure to invest in only serious buyers. And if you’re looking for even more tips to help with your investment career, Real Estate Elevated can help! Sign up for a Real Estate Elevated event in a city near you and get the tools you need to take your real estate investment to the next level.