How to Build Trust as a Cash Home Buyer
If you are a real estate investor and cash home buyer, you will have some hurdles to overcome when talking to sellers. They are naturally skeptical and you are going to have to earn their trust through the purchase offer process. They should be wary, because some deals seem good to be true and some sketchy cash home buyers have made it harder for the rest of us by ripping people off. “We buy houses” marketing still catches a lot of attention, but it’s not always good attention because it’s been tainted by some bad seeds out there in the market.
You know you are trustworthy and your offer is fair. So, how do you convince the home sellers that they can trust you as a cash home buyer? Here are a few tips from PropertyLark:
Tell the Truth
The most important thing you can do is tell the truth and be upfront with the seller. Let them know your intentions with the property, how you came to your cash offer price and that they are welcome to explore all their other selling options. Not all sellers are a good fit for your cash deals. Not all cash deals are ideal for certain sellers. Be honest throughout the process and this will help you establish more trust with any seller you are working with.
Understand Their Situation
A great way to establish trust is to simply listen to the seller. Take some time to get to know them and their financial situation. Why are they selling their house? Why are they considering cash offers rather than going through a traditional real estate sale? What are their main priorities driving them to sell?
Focus on the Seller, Not the Property
As a real estate investor, you can generate a lot of good will by taking a personal approach rather than just being all about the financial aspects of a deal or the physical features of the property. No matter what reason the seller has for selling, remember it is still an emotional experience for them. If you come in and try to be “all business all the time,” you will have a hard time building trust as a cash home buyer.
Ask Questions. Answer Questions.
Communication builds trust. Don’t be afraid to ask the seller plenty of questions about their situation, their home selling goals and their priorities. Likewise, open yourself up to questions and provide honest answers.
Make the Offer Clear and Consistent
When all is said and done, you want to have delivered what you promised to the seller. The initial purchase offer should be clear and then all your actions after that should be consistent. Don’t tell them one thing and then do something different. Even if you get the transaction completed by being shady, it can come back to haunt you in many different ways—including developing a bad reputation.
Walk Them Through the Process
Take the time to walk the seller through the entire cash transaction process. Let them know each step that needs to happen in order to complete the deal, so they aren’t surprised by anything that happens and they feel like they are making more educated selling decisions.
If you have bought and sold real estate investments in the past, ask for referrals and testimonials from past clients. Build up a database of reviews and ask those clients if they are willing to make themselves available if someone else you are working with wants to call or email. There’s no better marketing than positive word of mouth!
We’re not just talking about your physical appearance when meeting with potential sellers, which is also very important. We’re talking about your contact information. Build a website, make sure your contact information is publicly available and searchable, advertise any credentials and real estate licenses, establish a social media presence and put your business on review sites like Angie’s List or HomeAdvisor. A smart home seller is going to look you up and research your reputation. If you are just a mystery buyer with homemade signs on the street and no online presence, you are going to look very sketchy in the eyes of sellers.
These are just a few tips that will help you build a stronger reputation in the eyes of any sellers you approach with a cash offer. You may also want to consider joining a professional home buying network like PropertyLark, who will give you the resources and credibility you need to make better real estate investment deals. Click here to see if you qualify.