BUYING STEPS

INITIAL CONTACT

Call your new lead within 24 hours to introduce yourself and outline our processes.

  • Call your lead the day you get their information. If they do not answer, follow up via text or email to schedule a phone call.

On the call, address the following items with the lead:

  1. What is their story?

    • Take time to learn about them. This makes them feel known and valued, and sets the tone that you view them as much more than just a transaction.

  2. How did they hear about 6th Ave Homes?

    • Determining their level of familiarity with 6th Ave will give you clarity on how in-depth to go with our company’s history.

  3. Briefly explain the 6th Ave Homes Story:

    • We started renovating homes and realized there was a need for a better real estate model because the traditional approach is lacking.

    • See the 6th Ave “About” Page for more details!

  4. Explain the 6th Ave Homes Difference:

    • Walk your lead through what it will be like to work with you compared to working with an agent from a different brokerage.

    • Real Estate One Stop Shop: Real Estate, Construction, and Design all under one roof!

    • Our Mission and Soul

    • Guides vs Agents: We are here to help you by bringing clarity and simplicity to a process that can be nerve-racking. We aim to never sell or pressure you in any way.

    • We work as a team: When possible, you will get to work with a partnership of realtors as well as our construction and design team. This allows us to give the best quality service possible.

    • Our service is free to buyers. If you buy with us, you get access to our team and expertise as well as priority access to our Renovation Team.

  5. Determine if they have explored financing and are working with a lender:

    • “Yes” - Great!

      • If they have not done so already, encourage them to proceed with pre-approval before your meet up.

    • “No” - Offer to send them a list of recommended mortgage brokers from our Preferred Vendors Page or to send a warm introduction into a lender you have had a great experience with that could help with their needs.

      • Explain that a lender can make a or break the home purchasing process so it is important to work with a local lender they trust.

      • Mention that a good lender will help them understand what would be a wise budget for their purchase based on their financial goals.

      • Encourage your new lead to connect with a lender to determine their budget prior to your Meet Up.

        * This is not a “must”. If the lead is uncomfortable engaging a lender at this point, continue ahead with your Meet Up*

  6. End the call by scheduling a Meet Up at the 6th Ave Office or a coffee shop near the area they want to live!

    • Set an expectation of how much time a typical Meet Up takes and send out a meeting invite to all parties that will attend.

LEAD EMAIL EXAMPLE

MEET UP

Preparation: Research neighborhoods and available homes based on any information you were able to gather from your initial phone call. You do not have to show them those homes, but it will prove your expertise in that area. Reference the Making the One-Stop-Shop Work for You page to freshen up on how 6th Ave can serve their needs.

At the Meet Up: 

1. Get into their Story and Build the Relationship: This will set you apart as their Guide. Don’t skip past it by rushing to get to the home search details. Sharpen up on Story language HERE.

  • Focus on getting the buyers to talk and take the time to listen!

  • Ask them about their story and what brought them to this time of transition. YES… you already talked on the phone about their story… listen to it again and look for ways to engage with them.

  • Try to learn what is prompting their move.

  • Ask what they are looking for and how long they imagine themselves in their next home.

2. Bring 6AH booklet- Review during the Meet Up and focus on the following:

  • Cover who we are and what makes us different from other brokerages

  • Summarize the renovation and construction process if the lead is interested in that option.

  • Reiterate the difference between an Agent and a Guide

  • Walk through the Buying Steps Page, focusing on the items that could cause conflict for them.

3. Explain the Buying Process

  • Walk through what to expect from the home search all the way through closing by using the typical timelines shown in the Meet Up booklet and answering the following questions:

    • The Search - How long does it take, what do showings look like, and what tools will we use to look at homes?

    • Submitting the Contract - What does negotiation look like and what checks will they need?

    • Option Period - How long is option period, what will take place during option, and what happens when you end the option period?

    • Financing and Appraisal Period - How long does an appraisal take, how long is the buyer approval period, and do they have any “outs” after option period?

    • Closing - What are the last steps to get to closing, who pays the commissions, and what happens at closing?

  • Make sure you leave time at the end for them to ask any questions they may have about the process. Reiterate that you will cover these steps throughout the process but that you want to add clear steps to what the typical purchase looks like.

4. Get into the Details

  • Discuss where they are with their lender and if they have determined their budget.

    • Financing needs to be secured as soon as possible so that your clients are set up for success.

    • They need to know what they can and can’t afford so everyone is clear on their budget range.

    • Most agents will not accept an offer with out a pre-approval letter and they could miss out on a home they love!

    • If they do not have a lender in mind, offer to connect them with a lender you love to work with and have had success with in the past.

  • Review the Expectations page from the Meet Up booklet

  • Further explore what they are looking for in a home by circling back to the “One Thing” question in the Meet Up booklet.

    • What is their timeline for moving, bedroom and bathroom requirement, and preferred square footage?

    • Be sure to clarify what they mean by their descriptors to help hone in on what they are looking for.

      • Charm, character, modern, updated, open, etc. can all mean different things to each person you work with.

      • If you can, pull up homes that are currently on the market and get their thoughts to further feel out the direction they want to go.

      • Ultimately you will need to know their prefered:

        • Size

        • Room and bathroom count

        • location

        • Amenities

        • Layout

        • Intangible Items

  • If you were able to prepare a few homes based on your initial call, take time to review them together.

5. Summarize the Next Steps

  • Let them know that you appreciate them taking the time to meet and you are excited to be a part of their home buying journey!

  • Cover the documents you will have them sign

    • Discuss the purpose of the Buyer Representation Agreement in particular.

      • “It protects us from Zillow agents claiming you as their client and outlines our roles. We will void it at any time if you decide things are not working out”

  • REITERATE if they have not done so yet, they will need to complete the pre-approval process before getting the search started.

  • Tell them you will be following up with a summary of their search criteria, any helpful contacts you discussed, and sending them the compliance documents.

FOLLOW UP

1. Send them a recap e-mail: Summarizing what you discussed and outlining next steps.

  • List out and confirm the important items discussed about their home search to stay clear on their goals.

  • Next steps might include connecting you to their lender, the lead driving a few neighborhoods, the lead dialing in their budget, etc.

2. Include links to helpful resources from our site, like the Buying Steps page

3. Finish the email by letting them know once they confirm they would like to work with you, you will get started on setting up their search and circulating documents.

VALUE ADD: MAIL THANK YOU CARD

 

“YES” THEY WANT TO WORK WITH YOU

1. Set up clients in ReChat

  • Add buyers’ information as Buyer 1 and Buyer 2 and pre-populate contracts as needed. Send them the document set to sign.

2. Set them up with an MLS Search

  • Be sure to cover their options as to when to receive new property updates.

3. Set an expectation for when their first day of showings could be. Begin scheduling them at your new client’s discretion.   

VALUE ADD: MAIL THEM "FEEL LUCKY TO WORK WITH YOU CARD AND A LOTTERY TICKET" ONCE ALL CONTRACTS ARE SIGNED

 

BEGIN THE HOME SEARCH

Once you are have received the documents back from your new clients, you will take the details you gathered at the Meet Up and set up an automatic or VIP home search on the MLS.

Using a combination of online listing platforms and MLS, dial in a list of homes they are interested in seeing.

MLS SEARCH

SHOWINGS 

Set-up showings based on homes they like and homes you have found for their consideration.

Prepare

  • When clients send you a list of homes to see, try to review them and schedule showings as soon as possible.

    • Ensure each home is still active on MLS

    • If the homes are on Brokerbay, you can mass schedule all homes by creating a “showing cart” and adding them in.

      • Brokerbay will also have all the information needed to get into the house

    • If they are not on ShowingTime, contact the realtor to schedule a showing time and ask questions to confirm the listing status or other issues.

  • Do your homework on each property before showing them!

    • You can reference MLS on your device while at the home, but depending on how tech savvy your client is, you may want to bring a print out of the property with you.

    • Always have a good awareness of the following:

      • Age, price and square footage

      • Days on Market (typically a longer time on the market indicates flexibility on price)

      • Average price per square foot for comps in the neighborhood 

      • Any structural items you wanted to review based on the listing photos

      • Helpful documents attached to the listing like a Sellers Disclosure or Warranty

QUESTIONS FOR THE LISTING AGENT

  • Showing Strategies

    • During a day of showings, you are taking the clients on a journey. Take time to think through the experience they will have on their showing journey.

    • When scheduling with your clients, keep in mind their personalities, time constraints, and geographic location and how each will impact your time together.

    • Send your clients a Google Calendar Invite for all showings that day with the address and order of showing.

What to Bring

  • Bring water, your charged phone, measuring tape, and iKey clicker (just in case they have an old iBox)

  • MLS Printouts with Property info

Get to the Home Early

  • Open all doors and turn on lights.

  • Remind buyers to act as if they are on camera! *Discuss pricing outside of the house*

GETTING INSIDE - SUPRA KEY

Finishing at a House

  • Once you are done, ensure all doors are locked, all lights are off, and the house key is returned to its original location.

Provide Feedback to Listing Agent

  • You do not need to be extremely detailed or critical, try to be constructive if possible. Remember the seller sees this as well!

Email Recap to Client

  • Recap notes for each property you saw together and any thoughts you discussed

  • Help them analyze the pros/cons of the different homes

  • Provide insight on what a good offer for each home would be by looking up recently sold comps

  • If they did not find one they liked:

    • Brainstorm better criteria

    • Recommend new neighborhoods for consideration

    • Discuss other homes that might work for them and set another round of showings

    • Use their initial criteria lined out in the recap email. This is a chance to reset expectations and manage emotions. It is a good opportunity to stay focused on the end goal or adjust criteria as needed.

      *Remember to always bring solutions for you clients to consider*

 

MAKING AN OFFER

1. Call the listing agent to confirm the property’s status. Check on the seller’s current motivations and let them know you plan on submitting an offer.

2. Call or meet your clients to discuss the details of their offer.

  • Outline what your buyers should expect when making offers:

    • If the offer is low, the seller may simply say no; but they’ll likely counter.

    • If the property is just listed or has multiple offers, you will need to adjust your offer strategy.

    • Timing is everything! Review days on market and remember you typically have more leverage the longer it has been on the market.

    • When determining offer price, make room for back and forth negotiations if you are offering below the asking price.

  • After you have gone over the deal points with them on the phone, email them a recap with the details for confirmation. You want to make sure you are crystal clear on items before you type it up.

  • If your buyer wants to help separate their offer from others, have them draft a Buyer Letter that shares their story and why they want to buy the house to create a connection with the sellers.

    *This is especially helpful in multiple offer situations to cushion what might be a lower offer.

3. Contact lender to ensure buyer will qualify for this home and find ways to make their offer more competitive. Have them provide a pre-approval letter for you to submit to the listing agent.

4. Review MLS Listing for offer instructions and preferred title company. Also, download documents uploaded and share with buyer.

5. Fill out the standard documents and get them signed by buyers before submitting to the listing agent.

Contract

3rd Party Financing

Pre-approval Letter

New Appraisal Amendment

Buyers Letter - pulling on the heart strings always helps!

6AH Square Footage Document

TILA RESPA - for the Lender and Title Company

Sellers Disclosure - Be sure to review and have your clients review as well.

6AH Square Footage Document

6. Once the documents are executed by your clients, submit the offer package to the listing agent and include a summary of deal points in the body of the email.

Again, be prepared to negotiate the terms of your first offer! Communicate changes in deal points with your clients and help them make a decision on where to counter back at.

OFFER ACCEPTANCE & OPTION PERIOD

OFFER ACCPETANCE CHECK LIST

1. Execute the contract ensuring it is signed by all parties and dated accordingly

2. Sign Docs requiring Agent Signature (Like LBPA)

3. Notify Title Company

  • Send the Title Company a copy of the contract, all addendum and applicable documents. Include the listing agent on the initial contract submittal email.

  • Send a separate email introducing the buyers and lender to the title company along with their full contact information so the Title Company has accurate contact information.

TITLE INTRO EMAIL

4. Email Next Steps to Buyers and answer any questions they have

NEXT STEPS EMAIL

 

5. Coordinate dropping off Earnest Money & Option Money

  • Drop off earnest money AND option fee (one check, made out to title company) at the Seller’s preferred title company.

  • Both must be delivered within three days of contract execution.

  • Earnest Money & Option Receipt is typically sent out by title and/or listing agent once option is received.

6. Send Critical Dates document to Buyers

Create corresponding calendar invites, including the lender on 3rd party financing and closing date

VALUE ADD: MAIL MELT GIFT CARD

7. Inspection and Contractors

Note: time is of the essence. Have the buyers schedule an inspection and any other contractors you recommend as soon as possible to inspect property and provide quotes for any repairs that need to be made.

Reference our Preferred Vendors page for our vendor contact list

8. Construction and Renovation

If your client plans on remodeling, coordinate with contractors/designers for quotes during option period.

*Reference the What a contractor needs to know , Pricing Cheat Sheet , and Guide Renovation Steps pages for more details.

INSPECTION

1. Always Set Expectations!

  • Buyers need to understand that the inspection is comparing the home to the current year’s home code, so even a new build will still have items flagged.

  • Review potential red flags you previously identified with them so the buyer is not shocked if they come up during inspection.

2. Attend the End of the Inspection

You should attend, and encourage your clients to come as well, to have an in-person recap with the Inspector on site.

3. Inspection Report Recap

Once the report is finished, send an email recap of flagged items from the inspection report to ease the buyers concerns. Provide solutions and insight for items that need to be addressed

SECOND NEGOTIATION

1. Before the End of the Option Period, Negotiate with seller’s agent for repairs or other issues discovered in your inspection.

NEGOTIATING AFTER AN INSPECTION

2. Notify Lender

If you’re planning price reduction or a seller concession, work with lender to ensure it works with their loan.

3. Amendments

Submit amendment(s) to the listing agent as needed and once agreed upon, send the signed amendment to both the Lender and Title Company.

4. Update Brokermint with any new documents

POST OPTION

1. Communicate with the Lender

  • Once the option period has expired, contact the Lender to order the appraisal.

  • Update the Lender on any negotiated amendments that change the terms of the contract.

  • Make sure the Lender has been in contact with the Title Company and connect them if they have not begun communication.

2. Review Title Commitment with your Client for any irregularities or unexpected exceptions

3. Get the Home Warranty set up: give your client warranty provider options and have them notify title to set it up at closing 

4. Once the appraisal is scheduled, you can Send Comps and a List of Updates: this assists the appraiser in determining the value of the property.

  • If appraisal comes in low, the buyer can either: 

    • Walk away and keep earnest money, see paragraph 2(b) of the Third Party Financing
      Addendum for details

    • Bring cash to make up the difference

    • Negotiate a sales price reduction

    • A combination of cash and sales price reduction

5. Guide your Buyer on Home Owners Insurance options if they do not have one in mind

VALUE ADD: MAIL THE STRESS KIT (HEAD MASSAGER AND SQUISHY BALL)

 

CLOSING

1. 7 Days Prior to Closing

  • Email and schedule Final Walk Through with your clients to make sure all repairs were done, the house is in order, and nothing has been damaged since you last saw the home.

    • This is a good time to remind your clients to Set Up Utilities and go to the USPS website and have their Mail Forwarded to their new address.

  • Ensure the Buyer has set up their Home Owner’s Insurance and Home Warranty if they are getting one.

  • Schedule closing time with the Title Company and Buyer .

  • Confirm that the Lender is on track to close on time.

VALUE ADD: SCHEDULE CLOSING PHOTOS WITH THE ASSET REQUEST PAGE

2. Compliance

  • Fill out the CDA Closing Form and submit All Documents to Victoria via Rechat at least 5 business days prior to closing for the CDA to be finalized

  • Send Victoria wire/check information so you can be paid by the title company

*Once you know the property is likely to close (ie - the appraisal came back clear) you can submit all the documents you have to Victoria via Rechat so she can begin reviewing them and preparing the CDA

CDA CHECKLIST

3. Send Victoria the closing disclosure once you have received it.

4. Arrange getting keys from Seller’s Agent or at closing.

VALUE ADD: SEND JIBJAB ON CLOSING DAY  

5. CELEBRATE!!

  • Meet buyer at closing and Celebrate!

  • Reference the CELEBRATE page for details on our closing traditions!

  • If no walk through was scheduled, go with them to property to ensure everything looks correct after closing.

VALUE ADD: GET CLOSING GIFTS

Typically the 6th Ave Homes gift is the wooden box, cups, shot glasses, and TX Whiskey 

AFTER CLOSING

Follow up with Buyers to hear how they are doing and ensure their move was successful!

VALUE ADD: SEND TIFF TREATS TO THEIR HOUSE ONCE THEY MOVE IN