10-STEP BUYER PROCESS

1. Greet

2. Meet – different location

3. Buyer Interview: Common Questions

2. “About how many homes have you owned in your lifetime?”

3. “When you purchased your current home, what was the process you used to find

that home?”

“How did you start looking?”

“What did you do next?”

“How long did it take to find the home?”

4. “How did that process work for you?”

“Is there anything you would like to change on this purchase?”

“If you could wave a magic wand and have this purchase go just the way you want

it, what would that look like?”

5. “Are you familiar with how real estate works here in (place) ?”

If they are from the local area ask, “Are you familiar with the current market

conditions?

4. Buyer packet and agency disclosure

Briefly review packet, point out contracts, and finish with agency disclosure.

5. Funnel process

“Our goal is to help you find the right home and, at the same time, make sure you don’t

miss anything or pay too much. We have a process called “The Funnel Process” that will

help us accomplish those goals. Would you like to see how it works for you? Great.”

“Let’s start with what you have so far. “Do you have a list of homes you have found that

you are interested in?”

Review what they have. “Have you gone inside any of these homes?”

“If it’s alright with you, let’s start by putting these homes into what we call the ‘funnel’.

(draw a funnel).

To make sure you don’t miss anything, let’s also put into the funnel any home you might

consider. Will that be okay? Discuss:

οο MLS

οο New Listings

οο New Construction

οο For Sale by Owner

“Once we have everything in the funnel, we’ll start a simple process of elimination to

remove those properties that don’t work for you. We’ll use the comfortable process of

elimination versus the often frustrating process of selection. This way we’ll make sure you

don’t miss anything.”

“We’ll go from 1,000’s of properties in the funnel to 100’s and then to dozens as we begin

to eliminate those that don’t work.” “Some we will look at on-line, some we will drive by,

and some we will decide to make an appointment and go in. You will be in control of the

decisions.”

“As we go through the process, our goal will be to find our top three favorites that could

work for you (and this can be a rolling top three).”

“Once you have identified your favorites, I’ll do a simple market analysis showing you

sold properties to help you get a feel for value. Our goal is to make sure you don’t pay too

much.”

“Does this look like a process that will work for you?”

Funnel Process Summary and Key Phrases:

οο Process of elimination versus process of selection

οο Make sure you don’t miss anything.

οο Some we will look at on line, some we will drive by, some we will go in. You will be

in control of the decisions.

οο Our goal: Identify your “Top Three Favorites” and I’ll do a market analysis on them.

οο We want to make sure you don’t pay too much.

οο Draw it! Showing is better than telling.

6. Scale of 1 to 10.

Drill down on each item – ask questions and listen

7. Pieces of paper exercise. (Give each person a piece of paper.)

“If it is alright with you, I would like each of you to make a list of the things you want in

a home. After you have made your list, put stars beside the three things you can’t live

without.”

8. What and why? Features and benefits.

Remember: People buy their “whys” (benefits) not their “whats” (features). Explain the

concept of “the 85% perfect home.”

9. Cash? Loan? House to sell?

“Will you be paying cash for this home or will you be getting a loan?” If getting a loan: “Do

you have a loan arranged? Do you have a lender?”

“While I’m doing the computer work for your MLS search, would you like to meet with

( name of lender ) for a second opinion?”

“There is absolutely no obligation to use ( name of lender ). However, it will give you a

second opinion.”

Do the preliminary MLS search while they meet with the lender.

They return from the lender:

οο “How did it go?” Discuss their loan options

οο “Are you familiar with the 1% = 10% Rule?”

οο “Every 1% change in interest rate affects your buying power 10%.” (1% = 10% Rule)

4.5%, 30-year, $1,013/month = $200,000 mortgage

5.5%, 30-year, $1,013/month = $178,476 mortgage

6.5%, 30-year, $1,013/month = $160,326 mortgage

“What is your interest rate risk right now?

Review MLS results:

οο Matches

οο Under Contract

οο Available

Discuss MLS Search

οο View on-line

οο Drive by

οο Show

Refine MLS search and discuss

οο Print “Show” properties

οο Have “Actives” available

οο Have “Solds” available

οο Give them the “Greenlight!”

10. If we find it…What will you do? (story)