Serious Buyers: Top 10 Signs

"You Know One When You See One"

[Editor's note: this post is a companion to "Unserious Buyers: Top 10 Signs" and "Is the Buyer Serious? Here's One Clue"]

"The race is not to the swift, nor the battle to the strong -- but that’s the way to bet.”

--Ecclesiastes (with an assist from Damon Runyon)

For the benefit of non-Realtors, here's a "Top Ten" List of ways that Realtors know that a home Buyer is serious.

10. They're represented by a good, experienced Realtor (vs. their part-time Realtor buddy . . . or no one).

9. They've been qualified by a lender, and know what their budget is.

8. They ask germane questions ("How old is the furnace?" "What work has the homeowner done to the house?") vs. irrelevant ones ("where did the owner get their artwork?")

7. The Buyer's home search has "traction": their home search progressively tightens around a specific location, style of home, and price point.

6. They adjust their schedule(s) to learn the market in a concentrated time period, and block out 2-3 hours, minimum, to see multiple homes per outing.

5. All ultimate decision makers are "on board" and present for showings (vs. partners who are reluctant and off playing golf -- or shopping -- while their significant other looks).

4. They set up a second showing to test their initial (positive) impressions, and to learn the house better.

3. They ask for and study all relevant Seller's disclosures, municipal inspections, and Realtor marketing materials.

2. They take careful notes as their Realtor shows them properties.

1. They buy something.

Not every serious Buyer exhibits all 10 of the above signs, and more than a few actual Buyers display few or none of them (the vaunted "serendipitous Buyer" of Realtor urban legend, for one).

But . . . Damon Runyon's quote is more accurate than not.

P.S.: One more sign (#11.) that the Buyer really is serious: their life circumstances -- new job, baby, expiring lease, etc. -- dictate a change in housing.

Single Men, Taxi's, and "For Sale" Homes

"Serious" vs. "Non-Serious" Home Sellers

Men are like taxis. The theory is that when a man is ready for, or open to, the possibility of a relationship he turns his taxi light on. If you happen to be the girl that hails the cab (him) while the light is on, you've got a possibility of a decently long ride. But if you grab a cab with the light off, it doesn't really matter what you do, it's just not going to go anywhere.

--Candace Bushnell, "Sex and the City"

Substitute "serious home sellers" for "men" in the quote above, and you have a pretty good shorthand for what's going on in the housing market at any given moment. (And no, this isn't meant to be sexist; arguably the same phenomenon applies to single women.)

Just consider all the contrasts between "Serious" and "Non-Serious" home sellers ("motivated" and "unmotivated," if you prefer):

Serious: Price their home consistently with the Comp's ("Comparable Sold Properties").

Non-Serious: List their home at a price that nets them "what they need" -- or what their neighbor got 3 years ago.

Serious: If feedback and days on market indicate the price is unrealistic, reduces the price 3%-5% at regular intervals.
Non-Serious: Won't budge from the original list price. Or, after an eon of market time, will cancel-and-relist . . . at the same price.

Serious: Ferociously cleans and de-clutters before hitting the market. Donates accumulated stuff to charity to make their home feel as big as possible. Spends a nominal amount on cosmetic updating (painting, floor refinishing, landscaping, etc.) as needed. Brings in a stager -- and takes their advice!

Non-Serious: Thinks their home is perfect as is -- so why do anything?

Serious: Accommodates showing requests whenever possible. Cleans, empties the Kitchen sink, turns on all the lights, etc. ahead of first showings -- and especially second showings!

Non-Serious: Does none of the above. Thinks showings are a good time to water the lawn . . . in their underwear!

Serious: Has the municipal point-of-sale inspection done prior to going on the market, and fixes any items listed.

Non-Serious: Leaves the point-of-sale inspection for if/when there's a Buyer (illegal in some cities).

Serious: Hires a good, full-service Realtor who tells them all of the foregoing, markets early (pre-list) and energetically, negotiates well, knows the neighborhood, etc.

Non-Serious: Hires the cheapest Realtor they can find -- or none.

And on and on.

While serious home sellers don't literally turn on the equivalent of a taxi light -- based on all the things they do (or not) -- they're just as easy for Realtors and prospective Buyers to identify.