How the buyer’s triangle can help your clients make hard decisions.
My team is working with over 50 buyers right now, and my agents are asking me how they can help their clients make decisions. We use a system that we like to call “the buyer triangle” to help countless clients make hard decisions faster. What is the buyer’s triangle? At 0:50 in the video above, you can see a triangle where the top point is labeled price, and the two side points are labeled condition and location, respectively. These are the three things that buyers care about in a home, and each is important.
The price is pretty straightforward. It’s dictated by what your buyer is approved for and feels comfortable paying. Interest rates are rising, so we’re starting to see some adjustments to financing. There are more adjustable-rate mortgages, buy-downs, and lender-paid mortgage insurance. This is the most important point, and that’s why it’s at the top of the triangle.
The second point is location, and we’re starting to see a lot of difference here. Since the pandemic began, a lot of our clients have said that location isn’t too important because they’re working from home. The main concerns are lifestyle, being close to family and friends, and locations near certain restaurants or areas.
“Remind your clients to think about the big picture.”
We’re also seeing a lot of schools with opt-in programs. A handful of our clients have gotten priced out of certain school districts. We’ve called those districts, and it turns out they had an opt-in program. I don’t know how many districts do this; it’s not guaranteed, but it’s worth looking into. It opens up a lot more inventory for clients who want to live in a specific district.
The most emotional point is the condition. We’re talking about the client’s home, so if they want something, they truly want it. This includes how many bedrooms they want, if they can entertain guests, etc. For this point, we try to focus on wants versus needs. What do they want, and what would be deal-breakers?
The second thing we remind clients of is to think of the big picture. It might not be the home they want right now, but buying a house now can help them get into another home they truly love later. We’re seeing a lot of that right now. People are coming from out of state with tons of money that they got from selling their old homes.
This triangle makes dealing with the client simple. If you have any questions about the triangle or the industry in general, feel free to call or email me or my team. We would love to hear from you.