Luxury Home Construction Executive Dean Bueschner Highlights 4 Best Practices for Creating Strong Relationships with Real Estate Agents
According to acclaimed luxury home construction executive Dean Bueschner, who is currently the manager at Vintage Estate Homes in New Braunfels, Texas, here are four best practices that all builders should adopt in order to build strong and mutually rewarding relationships with real estate agents:
1. Host sales training events for agents.
A growing number of buyers are using the web to discover new developments without the assistance of an agent. However, 80 percent of buyers still intend on using an agent to purchase their home. As a result, builders need to familiarize agents with their offering — and one of the best ways to do this is by hosting sales training events.
Dean Buescher states that this is an ideal opportunity for builders to educate agents on information about things like the building process, warranties, financing options, and more. It is also a forum for builders to glean valuable marketplace knowledge, which can help them make better strategic, marketing and investment decisions going forward.
2. Provide agents with relevant resources.
To facilitate the partnership and position agents to succeed, builders should provide them with resources — both print and digital — that they can add to their toolkit when engaging buyers.
Comments Dean Buescher: “A critical and sometimes overlooked factor here is that builders need to listen to agents to understand what kinds of questions they’re getting from buyers, and what kind of information they need to neutralize pain points and objections. These insights can then be used to create brochures and other marketing materials. This is especially important when builders are trying to sell homes that haven’t been built yet.”
3. Help agents create realistic expectations.
Naturally, buyers want to get the best deal possible; however, many buyers fail to realize that builders often work on slim profit margins and can only negotiate to a point. Builders should proactively help agents understand the size of the negotiation bandwidth, so that they in turn can create realistic expectations for buyers.
According to Dean Buescher, agents don’t get any benefit whatsoever when they tell their clients that a builder’s property won’t get deeply discounted. All that happens is that clients get offended, they mistakenly perceive that the builder is being inflexible, and they end up walking away. This lose-lose-lose outcome can be easily prevented if agents create realistic expectations for buyers very early in the process. To avoid this issue, builders should discuss the negotiation bandwidth with agents so that expectations can be accurately managed.
4. Create a dispute resolution process.
Disputes between builders and agents will happen from time to time. As such, the parties should agree ahead of time to a fair and functional resolution process. Dean Buescher states that the dispute resolution process should include details such as how many days each party has to respond to a complaint, to whom the response should be sent, and what if any third party will head the despite and mediate or arbitrate a resolution.
The Bottom Line
While builders and real estate agents obviously have different roles and responsibilities, they share a common mission: to provide buyers with an exceptional experience that delights them, and drives repeat business and referrals. Concludes Dean Buescher: “smart and successful agents quickly realize that its wise to plug into a builder’s sales team, because a smooth and speedy transaction benefits everyone: agents, builders, and of course, buyers.”