With the fed taking over Freddie Mac and Fannie Mae, many predict – and we’re among them – that interest rates are going to drop. We’ve already seen some lowering and that may very well continue.

One result of this, we believe, is that we’ll see more first-time and younger buyers who’ve been waiting on the sidelines finally make their way into the market.

Are you ready to help them?

You might be saying no, simply because of your age. NAR reports the median age of Realtors is 52, but the median age of buyers is 39. NAR also reports first-timer buyers accounted for 39 percent of the home purchases in 2007 and 68 percent of these buyers were under 35 and 89 percent were under 45.

So you older agents will have to get with the program if you want to work with these folks.

Here are a few tips to help you position yourself to work more successfully with these younger buyers.

  1. Be an educator. Too many agents are what is  call “Pop Tart” agents. They get a call from a prospective buyer and they pop right up and go show homes. Hold on a minute and get to know these  first-time buyers. They’re already a little tentative and skeptical because of all the bad news they’ve heard about the real estate market. No one wants to feel pushed into something. Educate them on the basics of  home buying and all the advantages of home ownership versus renting to alleviate their anxieties and get them on your side.
  2. Get them pre-qualified for a mortgage.   Another way to relieve their anxiety is to get them pre-qualified. First,  it saves you a lot of time, but it also shows the buyers where they are      financially and what they can actually afford. But also realize that  they’ll face more scrutiny in light of all the ado in the lending  industry. And approvals are only lasting about 30 days.
  3. Get more web savvy. As you might guess, the younger generation does practically everything online. Most of them  actually grew up on it, so make sure your site and listings can be easily      found on the web via search engines. And know it’s likely they’ve spent a  lot of time researching homes on the Internet before they ever talk to  you. Plus, they like communicating via the phone – and not just talking,  but texting. So if you haven’t learned how to text message on your cell  phone, you better get to it.
  4. Understand their motivation. NAR reports younger buyers buy primarily because they want to own their own home or   establish a new household. Seventy-four percent reported this as their      primary reason to purchase. So in marketing to first-time home buyers,   focus on the American dream of owning a home versus the downside of renting.
  5. Understand their nuances. Every generation  has little quirks and the younger generation certainly has theirs. For  one, they’re more casual — which doesn’t mean you should wear jeans — but  be careful not to overdress. They also tend to like things quickly and  efficiently. They’ve grown up in the push-button era – you want something,   just push a button and it’s there, fast. So take out any wasted space and time in your presentations and be able to complete the sale as quickly as possible. And have monthly payments factored out with maybe three or four      different scenarios. You might even consider an annualized plan – how much the home will cost them in a year.

The key is to always listen closely to their needs, verify what you heard and then act accordingly, and you’ll do great.

Best of luck to you!

Corcoran Coaching is an international consulting and coaching company specializing in performance coaching and the implementation of sound business systems for small business owners, including residential or commercial brokers, teams or individual agents. Learn how to create and implement cost effective operational, business and sales systems that have a proven decades-long track record of successfully driving you to your next level of sales productivity.

Isn’t it time you invested in yourself to be as successful and effective as the top producers? Success is just a phone call away. Call today at 1-800-957-8353 or email us at SuccessTeam@CorcoranCoaching.com to start the conversation and get your no cost, no obligation business consultation with one of our experienced professional success coaches.