How Are You Dealing With Financially Challenged Clients?

As the country struggles to get back on its financial feet, it is more likely than ever that as a real estate agent you will be seeing a higher number of clients with poor credit scores, bankruptcies, foreclosures, as well as a short employment history.  All of which can make your job of getting them into a home more challenging.

What can you do to help your clients, here are 4 tips:

1.  Talk to your mortgage lenders, having an expert in your corner who knows the ins and outs of the lending industry, and who can give your client clear concise financial information is paramount to your business.  Your mortgage lender should have several options available to assist your clients.

2.  Add a financial planner and or accountant into your network of professional referrals.  You may find that after talking with a mortgage lender, your client doesn’t qualify for a home loan.  Referring your client to a financial planner or an accountant to access their current financial status and to help them get back on track for the future, gives your client positive conclusion to a unfortunate situation and should help you retain that client when it is time for them to begin their house hunt in the future.

3.  When referring clients to a professional, be it a mortgage lender or a painter, it is always preferable to have at least three choices for your client and letting your client have the final choice in the professional that they work with.

4.  Remember your expertise!  Unless you are a mortgage lender as well as a real estate agent, your expertise is real estate.  Don’t make the mistake of getting too involved in your client’s finances.  Your advice to your clients should be to speak with an expert in the field.  Crossing those lines by giving financial advice, collecting financial records, etc. could end up with you loosing your license, and that just isn’t worth the two cents worth of advice.

Keep these 4 tips in mind for the next time a client tells you that they were laid off, or that they missed a few mortgage payments.  It will ease some of the stress you feel, and it will make your clients experience a positive one.