I'll Take The Million Dollar Home, With a Side of Fries.

In this crazy, roller coaster of a market, I think it's fair to say that, above all else, we want realistic clients. I'm coming to see more and more that just because someone has a pre-qual/pre-approval, doesn't mean they're realistic in their parameters. Money does not equate in wisdom. (Although, according to my last entry, it helps with happiness!) Now, we're all aware that I know, at best, nothing about Manhattan real estate. It's not my thing. Don't know it, don't like it. However, today, I finally realized that regardless of where someone is searching, they all have the same goal. We've all heard the new "hip" saying "I'm looking for a deal." I haven't spoken to a person in months who hasn't dropped the "d" word. Everyone is looking to pay significantly less for something that, at one point, was valued at significantly more. I think it's gotten to a point that people are done looking for a deal, and have now moved on to making up their own rules. Over the past month, I have heard some of the most preposterous real estate proposals. I fear that people have started to lose their minds.

I spoke to a guy a few days ago who, while very nice, was completely delusional. The conversation started off with the basics, "Where? How much? When? and why?" I was told "Manhattan, 450K, immediately, and for investment." The next series of questions "What part of Manhattan? Are you pre-qualified, or will this be a cash-purchase? Where do you live now? How large of a unit?" Here's where the trouble started. He wanted (well, I should say "wants") a 1bdr condo for 450K and a 10% down payment. On top of that, he hadn't yet consulted with a mortgage broker. Here's the problem, the one building that fits that price point (yes, there is one building in all of Manhattan...so I was told today), does not sublet. Meaning, he could purchase it, but then what? Now, I'm a fairly blunt person. When something doesn't sit right with me, I have no problem saying it. I basically told this man that it wasn't going to happen. However, because I have a few agents who owe me favors, I would humor him and have one get in touch with him. (Or, I said "your search doesn't quite add up, but I'd be more than happy to have one of my agents speak further with you"...whatever). My point is (I know you were waiting), there is nothing wrong with educating a buyer. In fact, I recommend it. However, if you see that someone is spinning their wheels and, in turn, spinning yours, put them on the back burner. I've seen far too many agents waste their time in the past few months. These buyers/sellers/investors give a whole new meaning to the term "testers." They test our patience, and most of all, they test our expertise.

The moral: Be blunt. Though we're trained to beat around the bush and not offend, in this market, that doesn't fly. If it doesn't exist, tell them. If their money won't buy them a 5bdr house on an acre, show them. Utilize the information you have to prove that you are the expert. Sadly, in real estate, the customer is usually not right.