Showing Feedback
I think this is one of the most benign issues that takes up our time….I do. I know that regardless if it’s expressed in the comments or not, someone will get angry that I wrote this….they will. I think this issue is detrimental to buyers….here’s why.
The Expectation versus Reality
The question came from a class several months ago, when an agent asked what statute required a buyer agent to answer the Listing Agent’s request for showing feedback. I answered that in our Commonwealth, there is no statute, lockbox agreement, standard of practice or MLS rule that gave the Buyer Agent an affirmative obligation to disclose their client’s thoughts about a home. The class erupted… As I typically do, I ask for folks to prove me wrong – show me where it was a rule. No one could. I have a friend who tells people that if they are going to choose to practice law without a license – be right.
The agent’s primary argument is that they somehow deserve feedback and the buyer agent should be compelled to do it. I agree that returning calls or e-mails is reflective of professionalism. However, what benefit does the BUYER actually receive from the Buyer Agent telling the Seller what they thought.
I Choose Door Number 4, Bob
With the exception of Dual Agency (which is from the devil) Buyer Agents owe complete loyalty to the Buyer. When the Listing Agent asks the Buyer Agent for feedback – what exactly can you say, that at some level doesn’t potentially damage the buyer?
1. “My clients LOVE the house” – translation: We’ll do whatever we can to get in, please reject anything other than a full price offer.
2. “My clients HATE the house” – translation: door closed and after seeing all the other junk out there, in this price range we may decide to come back. If we come back, you can feel free to understand that we’ll jump ship as soon as we find something better, ergo negotiating with me is a waste of time.
3. “Well my clients like it ‘ok’ but we don’t think we’ll make an offer” – translation: Please keep calling me every freaking day until my buyers decide that they wish to buy something else, or I am forced to lie to you about my clients being under contract so you’ll stop stalking me!
4. “My clients are still in their search and have made no decisions” – translation: We’ll let you know when an if we’re ready to make an offer. Don’t call us, we’ll call you.
Who’s Job Is It?
It is never the Buyer Agents job to help the Seller sell their home. Commenting on the advertising efforts, staging, declutter, price reductions etc… are all the responsibility of the Listing Agent. What decent Buyer Agent wouldn’t ALWAYS recommend a price reduction?!?! For a Buyer Agent to give any of the above advice is in direct conflict with their responsibilities to the Buyer. If your buyer doesn’t desire the house right now, and you give feedback to improve the Seller’s chance of selling, then you have hurt the buyer should they change their minds and come back to make an offer on the house.
Often I’ll hear that Listing Agents are collecting this feedback to help them convince their seller to declutter, stage or price reduce. My question is why did you begin marketing an unmarketable property in the first place? Price adjustments are always a consideration, and if the Listing Agent isn’t able to build a case with their own resources and tools, than maybe there isn’t a strong case to be made for the price reduction.
Who Is Your Client?
Remember who you represent. During your buyer interview session, when you get the expressed buyer agency agreement, ask your buyers how they would like you to answer feedback inquires. Give them a list of all the ways that it could potentially harm them, and the fact that it doesn’t benefit them at all and see what they tell you to do. Being able to tell the listing agent that your clients have directed you to not give feedback, is a strong case and should help keep good relationships with other agents. Sometimes you have to man-up and not be bullied or intimidated with what your local market traditions have been.
Also remember this – the Listing Agent SHOULD be asking. My post is not to say that there is anything wrong with asking. If the Buyer Agent isn’t looking out after their clients in the manner outlined above, then recall that the Seller hired you to use every legal trick to sell the house. It’s not two-faced, it’s remembering who hired you and that you are required to work in THAT client’s best interest – not all involved and certainly not the other persons client.
