MUTUALLY AGREED POSITIONS
between the agent, buyer and seller is the key to confirming mutually
agreed positions. When mutually agreed positions have been confirmed
then the sale can be closed. To reach these positions the agent acts
as a catalyst and mediator between both parties. This is done by
addressing both seller’s and buyers’ objections.
agent’s role in confirming mutually agreed positions starts in the
negotiation phase of the sale process. During negotiation the agent
tries to bring the buyer and seller “together” in intentions and
requirements. The main objection that the seller may have is when
there is a need to reduce the asking price or change the time for
a proper and professional appraisal of the property has been
completed (which is essential for a private treaty sale) there should
be little problem in having the seller agree to a fall in the asking
price to market value. Most sellers would understand this and the
agent should have explained at the start of the sale process, that
the asking price is just that and normally the final price is less
than the asking price.
problem of date of settlement is a matter up to the seller and should
be conveyed to the buyer during negotiations. Of course the seller
may make an offer on different terms and conditions. If this happens
the agent must advise the seller of the offer and it is up to the
seller whether or not to agree to the offer. The agent is a conduit
between seller and buyer but a conduit that also conveys expert
advice to both parties.
all seller objections are overcome with good communication and liaison
with the parties and transparency of actions and costs.
agent’s main concern and skill is required in overcoming buyers’
objections. These will include the location of the farm, size and
potential land use. If the property is a hobby farm it will also
include the state and quality of the house.
agent should qualify the prospect further on each objection. This is
because prospects themselves often do not know their true wants and
prospect who is requesting a large farm my in fact not be capable of
broadacre farming. However, their intended intensive land use may be
perfectly suitable on a small farm.
objections can be overcome with further questioning and discussion.
Therefore, it is well worthwhile for the agent to spend time on the
initial qualification period as this will not only help you sell the
property but may save you a great deal of wasted time later. This
type of “preplanning” is more important for a rural agent than an
agent when dealing with buyers’ objections will find that detail is
really not that important. During inspection and as the prospect has
time to think about certain negative features they may come to the
conclusion that these features are not that important or can be
easily rectified. The agent can encourage this thinking by suggesting
alternatives to the negative feature or expressing the opinion that
it can be cheaply rectified.
prospect on inspection is concerned about the poor state of repair of
the yards. The agent can make the suggestion, “you know that more
people now are using portable and mobile yards rather than putting up
with the inconvenience of fixed yards”.
prospect is concerned with the poor state of the internal fencing.
The agent can say, “more people are using movable electric fences
nowadays as it is cheap and a better method for managing stock”.
a buyer pursues a negative feature of the property the agent can
respond by emphasizing positive features.
“There is a very good school bus service” or “the road is good
and all weather. It doesn’t take that long in time really.”
Buyer: “I don’t know it a long way out.
The kids have to go to school everyday”
“This property doesn’t have a good machine shed but being $50 000
cheaper than the other one means you can build a new shed with what
Buyer: “I need a property with a large
machine shed and good clearance”
“During this dry spell you can bulldoze the dams out. I reckon you
could double their capacity with a good clean out.”
Buyer: “I need a property with a good
water supply. The dams are too small”
is human nature and understandable for a prospect to criticise the
property particularly during inspection and this is one reason why
the seller should not be there during inspection. The agent should
see this as A natural part of the haggling and negotiation process.
Often the prospect does not really believe the negatives that they
are taking pains to point out! The experienced agent will learn to
recognise the difference between real and unreal objections.
is better to have a prospect pointing out negative features than one
who remains silent. If the prospect remains silent then it is
probably an indication of complete lack of interest in this property.
It is also better to have a prospect pointing out faults than
politely agreeing to everything the agent says. The agent in this
case has no way of knowing what the prospect is thinking and is
unable to offer remedies of positive comebacks to perceived faults in
the retail rule, “a complaining customer is a good customer”
because they want your business, all you have to do is fix their
complaint. It is difficult to close a sale without objections because
without objections there is no communication.