On Nice People.

By
Real Estate Broker/Owner with J. Philip Faranda (J. Philip R.E. LLC) Westchester County NY
http://actvra.in/mlB

Nice dogI like nice people. You probably like nice people too. Nice people are...nice. Given the choice, I prefer to do business with nice folks. Especially here in rushed, rude, New York and occasionally aristocratic Westchester County, nice people are such a breath of fresh air. Of course, in business, being nice isn't enough. People want to get from point A to point B, and if all they get is nice with no result, they get frustrated. 

For example: You might have had the experience of dining in a well-known bistro and been greeted by a cheerful, perky, awesomely-flared server who was wicked nice. They were really super neato charming. They ask all about you and you learn all about them, and, sometimes, you might feel a slight urge to stuff the center table ornament in their mouth and tell them to go get your food. 

That doesn't make you a bad person. It makes you "hungry."

In my bartending days back in the Mesozoic era, people would come in and enjoy my company greatly. However, they only enjoyed my wit and charm after I made them "not thirsty." Then we'd be nice together until Ted Koppel came on the TV. Of course, throughout the process, I made sure their glasses were full.

Here's the real estate lesson. Recently, one of my clients was fortunate enough to get an offer on his property on a Friday. We had quite a few showings scheduled for the weekend, and the buyer graciously agreed to wait until Monday for us to evaluate any other interest that might arise until Monday. We received another offer on Monday. The second offer was informed of a competing offer on the table, yet their offer was significantly lower than the first. Even though they knew they had competition, they still made an uncompetitive bid. 

When my client and I discussed the merits of the two offers and it was clear that the second offer would not get the nod, he expressed sorrow for the losing bidders. "They were such nice people," he said.

I told him they could have been $35,000 nicer. In business, nice may get your foot in the door. But if you don't deliver, nice is not enough. 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the scissors to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Topic:
ActiveRain Community
Groups:
40 Somethings
BananaTude
Bartender, Make it a Double
Independent Brokerages
Running a Brokerage
Tags:
nice

Comments 54 New Comment

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the magnifying-glass to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Show All Comments
Rainmaker
1,250,866
Carla Muss-Jacobs, Principal Broker/Owner
Buyer Focused ~ Buyer Results
BuyersAgentPortland.com | (503) 810-7192 Portland Metro Exclusive Buyers Agent | 100% Buyer Representation ~ 100% of the Time

I didn't know where you were going with this post until I read the end.  Yup, nice people are nice, but they may not be nice enough.  ;-)

November 03, 2011 12:09 AM
Ambassador
541,463
Larry Story
Total Care Realty, LLC, Greensboro, NC Real Estate
Total Care Realty

Phil,

You are so right.  Nice only goes so far there is a time when the rubber needs to hit the road and without the cash no offer goes very far.

November 03, 2011 12:55 AM
Anonymous #37
Anonymous
Anonymous

Congratulations on being the only serial featured poster from yesterday!

I'm always confused when I read posts like this. Here's why: You said that the "second offer was informed of a competing offer on the table yet their offer was significantly lower than the first. Even though they knew they had competition, they still made an uncompetitive bid."

My question would be, "How are they supposed to know what is competitive and what is not?"

I'm presuming that you didn't tell them the dollar amount of the first offer because I think that would be against the Realtor Code of Ethics, to give away information like that.

So what is someone supposed to do just because there is a competitive offer? Could it not be possible that the first offer just might be lower than the second offer?

If one's intent in saying that there is a competing offer is to hope that the second offer is higher, well, it is, after all, just hope, on both parties' parts.

I'm also curious if it's common there for the sellers to meet the prospective buyers before an offer has even been accepted.

During the thirty years that I was flipping properties, I always reserved the right to present my offer to the sellers in person because I recognized that nice and personable does go far, and I won a lot of properties that way. Did lose a few, too, but I had a pretty good on-base percentage.

November 03, 2011 05:09 AM
Rainmaker
818,757
J. Philip Faranda
Broker-Owner
J. Philip Faranda (J. Philip R.E. LLC) Westchester County NY

Thanks Russel- think they did that to nudge you? I wondered. =)

That is a good question. Unless the seller inexplicably wants us to, we can't reveal the number on the table.  The second offer was significantly lower than asking on a very aggressively priced home which had showings going on like a a conga line. The number offered was strongly 5 figures off asking, and would be a number I would expect if they were the only game in town. In a situation where asking price is aggressive as it is, full price in a multiple bid situation wouldn't have been crazy. 

We seldom present offers in person here, just the local way of doing things. We did in Rochester when I was up there, and I know you are right. These people did have a chance to meet the seller at the showing, and they were, well, nice, but even in person with Lee Iacocca presenting their bid they would have lost. 

November 03, 2011 06:33 AM
Ambassador
1,638,980
Fernando Herboso - Broker for Maxus Realty Group
301-246-0001 Serving Maryland, DC and Northern VA
Maxus Realty Group - Broker 301-246-0001

Being nice sometimes will get you nowhere. . .Congrats on the feature

November 03, 2011 06:46 AM
Rainmaker
714,035
Jackie Connelly-Fornuff
Century 21 AA Lindenhurst NY
Long Island NY Real Estate Agent

If you are nice and have a good offer, then nice is a plus. I try to present offers in person and most times I can. But, the higher offer for the most part prevails.

November 03, 2011 08:17 AM
Rainmaker
251,875
Women of Westchester Working Together
Women helping Women get ahead
Women of Westchester Working Together

Yes, just nice doesn't cut it.  But, nice and effective, now that is truly ideal.

November 03, 2011 09:00 AM
Rainmaker
891,596
Michael Setunsky
Your Commercial Real Estate Link to Northern VA
Michael's Commercial LLC

Phil, I guess in business nice helps the deal, but it doesn't have much of a monetary value.

November 03, 2011 09:17 AM
Rainmaker
570,044
Bill Gillhespy
Fort Myers Beach Realtor, Fort Myers Beach Agent - Homes & Condos
16 Sunview Blvd

MNorning Phillip,  Just lost a big one yesterday.  My buyer and wife are extremely nice and easy to work with.  They made an offer expecting a counter...

November 03, 2011 09:52 AM
Ambassador
1,082,788
Bryan Robertson
Broker, Author, Speaker
Catarra Real Estate, Inc

It's fine to work with "nice" people, agents and clients alike, but that doesn't matter when it comes down to the value of what is clearly a business transaction.  I think being nice buys some generosity but it has a limit.  I know many sellers who will give up on pricing for a buyer (couple with kids, etc) that they think will really enjoy their home. But at the end of the day, money talks and a higher bidder will almost always win the deal.

November 03, 2011 10:34 AM
Rainmaker
261,251
Dawn Crawley
Find Pinehurst Homes
Dawn Crawley Realty

I love this! $35,000 nicer would have been great. Congratulations for you seller getting a contract on their house.

November 03, 2011 11:03 AM
Rainmaker
313,510
Sandy Acevedo
RE/MAX Masters, Inland Empire Homes for Sale
951-290-8588

The nice people got their foot in the door. But the ones that offered higher are great people, and I like great people better than nice ones.

November 03, 2011 11:12 AM
Rainmaker
420,591
Leslie Ebersole
REALTOR - Chicagonulls Western Suburbs
Baird&Warner Fox Valley

In response to Russell, it is not a violation of the COE to tell buyer #2 what buyer #1 has offered if so directed by the seller. This is specifically covered in the NAR class "Elements of a Contract". 

Here in Illinois, it is explicit in our license law -- and for my firm in our listing agreement -- that we work at the direction of the seller regarding multiple and subsequent offers.

 

November 03, 2011 11:27 AM
Ambassador
706,420
Mike Frazier
Dyersburg Tn Real Estate
Carousel Realty of Dyer County

Phil, if I am working with a "nice" family I always want the seller to meet them. It makes my job easier putting a deal together.

November 03, 2011 11:39 AM
Rainmaker
1,196,741
Elizabeth Weintraub Sacramento Real Estate Agent, Top 1% of Lyon Agents
Put 40 years of experience to work for you
Lyon Real Estate

There is some new thing coming out about not having to disclose how many offers you have or whether you have any without being in conflict with Article 1. But you'd think after being advised that there is an offer on the table, the second buyer would have bumped it up a bit. Nice doesn't count at the bottom of a net sheet.

November 03, 2011 12:23 PM
Rainmaker
39,683
Eric Proulx
RealEstate.com

"In business, nice may get your foot in the door. But if you don't deliver, nice is not enough." AMEN

November 03, 2011 12:30 PM
Rainmaker
365,072
Lisa Heindel
New Orleans Real Estate Broker
Crescent City Living LLC

In response to Russell (#37), once informed that they were competing against another offer, the buyer's agent should again counsel the buyers on the current market for that property and educate them about what they might be competing against.  (That's assuming they did that to start with)  Will that guarantee them a win?  No, but they will have made an educated decision about their offer, knowing they may be out bid.

As a listing agent, I'm surprised by how many buyers are shocked when their offers are flat out rejected because they /their agent didn't run comps on a property.  You can be as nice as you want, if you aren't even in the ballpark of value, you'll lose every time.

November 03, 2011 02:07 PM
Rainmaker
647,735
Evelyn Kennedy
Alameda, Real Estate, Alameda, CA
Gallagher & Lindsey, Alameda, California

J. Philip:

If the buyer's agent had run the comps and realized that the price was very competitive then they should have know that their offer should have been near asking.  Nice people are OK, nice offers at or near asking are the best.

November 03, 2011 06:20 PM
Ambassador
474,179
Kristin Moran
San Antonio,TX - Real Estate - 210-313-7397
Owner - RE/MAX Access - KristinMoran@Remax.net

Nice guys finish last i've heard. Being nice doesn't always get me where I want to be but I make sure & "kill em' with kindness" as much as I can!

November 03, 2011 07:36 PM
Rainmaker
407,597
The Scott Loper Team Lansdale & Harleysville PA Homes
Keller Williams Real Estate - Montgomeryville

Hi Philip,

Of course nice isn't going to cut it if the nice people offer $35,000 less.  On the same vein, you can be the nicest Realtor in the world, but if you don't get your listings sold, you are likely to lose your clients.  Being nice is rarely enough to get by in this world.  Sometimes too nice is too much.

Lisa

November 04, 2011 10:10 AM
Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the clock to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Show All Comments
Rainmaker
818,757

J. Philip Faranda

Broker-Owner
Ask me a question
*
*
*
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the graph to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Additional Information

\"CDPE\"

\"Search

\"Down

\"Add

Testimonials
113201
\"'\" There is no doubt in my mind that the house would still be on the market if it wasn't for Phil's proactive efforts. \"'\"
5.0/5.0
by drmoi
109285
\"'\" Phil was very responsive to our requests; he was very professional and respectful; he always gave us his honest opinion on the questions we asked. ... more \"'\"
5.0/5.0
by junglegirlnyc
106920
\"'\" Phil is a very honorable and respectful realtor. He has gone way above and beyond the call of duty for me not only once, but twice. He helped sell ... more \"'\"
5.0/5.0
by MommyJ9


\"J

\"View

\"Follow


\"Become

Listen to internet radio with activebob on Blog Talk Radio

\"J" style="overflow:hidden;" seamless scrolling="no" id="custom-widget-content" onload="resizeIframe()">Your browser does not support iframe.