How many customers leave you every month…every year? Do you know why they leave you? Do you know which customers might leave you next? If the answer to these questions is no, then read on below for the 5 reasons for Vendor withdrawals.
- Chain collapses
- Cold feet
- Property Performance
- No forward chain
- Own buyer found
- This is where a good estate agent or a switched-on vendor will really come into their own. Someone needs to get onto the broken link and – in as conciliatory a manner as possible – find out exactly what is going on. You should be confirming chain details whenever a buyer puts in an offer. If the buyer is selling a property you should call their estate agent to check the position of the person who is buying it and the offer amount. You should also be getting proof of funds from the buyer which shows they have the deposit they need and a mortgage agreement in principle where applicable, or proof of full cash funds if a cash buyer.
- As an agent we cannot prevent “cold feet” but we can put procedures in place to spot these early on in the process. By tracking the customer feedback and acting quickly to address problems we are able to predict those who are teetering on the edge and those who are already hanging off the cliff. By gathering feedback at integral points within the customer journey you are able to gauge their commitment to the sale and therefore discuss any concerns prior to any offers being made and a potential sale fall through.
- Property performance is a key indicator as to why a vendor takes their property off the market. Communication is primarily cited as a reason for withdrawal and is quickly followed by the level of viewings and interest the property has generated. This can leave a vendor frustrated and with a lack of confidence in their agent and therefore cause them to look elsewhere. This is where feedback is king and it is paramount to manage the vendor expectations from the outset as this will prepare them for any surprises during the process.
- Although no forward chain can seem like an interesting prospect for a buyer this can also cause potential problems further down the line. Having spoken to many of my colleagues it is clear that this can cause issues in itself. When an agent is proactive and secures an offer on a property that is subsequently accepted this can then cause a rush of panic in a vendor who has not property to move into. This can then cause delays and can potentially prevent the sale going through. Always ensure that you are communicating effectively with the vendor to ensure that they are aware that they may have to find a property quicker than they anticipated so as to prevent the sale fall through due to lack of a property to move to.
- Rarely but annoyingly, vendors may sometimes find their own buyer. This may be through a family member, a neighbour or canvassing of potential buyers. This can cause issues if the buyer was initially introduced by you and therefore the vendor would still be liable under the agency agreement to pay your fee. Therefore it is extremely important that all viewings, and interest is registered into your CRM system and at the end of the agency agreement a notice which details all parties introduced is sent to the vendor.
This list is not exclusive as there are many weird and wonderful reasons a vendor can withdraw from a sale. The importance of feedback during the process is paramount to a smooth sales transaction and can ultimately end up saving your business thousands of pounds in lost fees.
BoomerangCRM have developed a streamlined process that works in line with your current systems and process to ensure your customers (buyers and vendors) are happy, committed and above all engaged with your business. If you would like to find out more then please get in touch with one of the team today for a no obligation one month free trial.