Have you ever bought or sold a home, or been close to someone who has? I bet you have. Just about everyone knows at least one person close to them who has bought or sold a home in the last year. Now, think of that person. Maybe it’s you. Let me guess, there was some stress involved in the process? Perhaps even some intense emotions?
The Feels of Real Estate
Much has been said of the hot-hot-HOT sellers’ market of the last 5+ years. Not just here in the Seattle corner of the country, but it seems the entire United States has experienced a shortage of inventory and a hotter-than-normal market the last few years. Many buyers put in offers on several homes, only to lose time and time again. Very frustrating, upsetting, and draining on the emotions and the wallet–after shelling out for multiple pre-inspections.
Even home sellers have been experiencing intense emotions! The high of getting multiple offers, sometimes well over (or even obscenely over) the asking price. Yay! Oh wait, what’s that? The buyer who waived every contingency is now freaking out, backing out of the deal? You have to give all that earnest money back! Nooooo! What’s that feeling?! Oh yes, emotions.
Robots
It’s a reality in the world of home buying and home selling. There are robots: the algorithms of Zillow and Redfin. You know, that secret sauce that tells you the “value” of your home (compare what Zillow says to what Redfin says for your home. The numbers can be wildly far apart.) Or maybe the robot says that home you’ve been eyeing is a “HOT” home. Better get on it, right? It’s hot!
But here’s the thing: Robots (aka algorithms) don’t feel emotions. Zillow might know what your neighbor’s house sold for and based on that, what your home might sell for. Based on price per square foot, and whatever else is in the secret sauce. What Zillow and Redfin don’t know is how buyers feel. How they feel about one house’s features vs. another down the street. The algorithm doesn’t know that one has a killer view, the other doesn’t. Or one reeks of wet dog and cigarettes while the other smells faintly of apples and cut grass (like my backyard). 🙂
What’s Love Got To Do With It?
I challenge you to find a home buyer who has never fallen “in love” with a home. Or at least, very deep like. Similarly, good luck finding a seller who is completely unemotional regarding their home. You know, the one they spent a ton of money remodeling, or where their kids grew up, or….<insert your own emotional attachments to a home here>.
Which brings me to my point: It’s darn near impossible to find a home buyer or home seller who is completely without emotion. Even savvy investors insert emotion into the home buying or home selling process. They are human, after all.
There’s No App for That
I admit, my husband/business partner and I don’t always see eye to eye on this point, but I firmly believe there will always be room for the best real estate agents to succeed. The apps and algorithms won’t win. At least, not until the day when they feel genuine human emotion. How can a real estate agent truly help a home buyer or home seller if they can’t empathize?
Sure, there are plenty of real estate agents who don’t have that level of empathy. After all, it’s really not hard to become a real estate agent.
But to be a truly great one requires a great deal of what the experts call “emotional intelligence.” The ability to connect with the human beings who are buying and/or selling a home, and be able to truly understand both sides of the deal. (It really doesn’t help that much if your buyer’s agent understands where you’re coming from, but has no regard or understanding of the home seller’s position and what emotions that seller may be feeling.)
How to Negotiate in Real Estate
- Remember, the robots aren’t always right. Zillow’s Zestimate says one thing, Redfin says that “hot home” is worth $100,000 more than what Zillow says. Take them both with a huge grain of salt, and trust the advice of your real estate agent. (You picked a great agent, right?)
- Consider the other side. Buying or selling a home doesn’t mean one side wins and the other side loses! Whether you are the home buyer or the home seller, nearly every time there’s a deal that works for both sides. Often, that means some concessions and some bonuses. But ultimately, you both want the same thing: the sale of the home.
- Feel your emotions, but keep them in check. Look, it’s OK to have emotions! We all do. But don’t let them get the best of you when there’s a deal on the line. Empathize, but be firm. Take deep breaths. And trust your real estate agent. Because, you picked someone you enjoy working with that you trust, of course.
Looking for a Real Estate Agent?
Whether you’re looking for a real estate agent in Poulsbo, Washington, surrounding areas in North Kitsap County, or the Greater Seattle/Eastside area, we are happy to help. Even if it’s just to answer questions. Ping us anytime! We’d love to hear from you.