These factors could range from proximity to family and schools to convenience for work or cultural ties, making it critical to understand not only the financial but the personal factors driving decisions.
When evaluating areas of high inventory, Farzad pointed out that it’s not just about jumping on the bandwagon of lower prices. He noted that, in high-supply areas, properties may sit on the market longer, and buyers could take advantage of reduced prices. However, Farzad emphasized the importance of not “chasing” inventory trends that don’t align with a client’s goals. “These aren’t trends that really affect your day-to-day business,” he said, focusing instead on how a client’s budget fits into the broader picture of their lifestyle and long-term needs.
This notion of focusing on individual client needs over market trends also plays into how brokers can differentiate themselves in regions with high competition. In areas with limited supply, such as Tarzana or Beverly Hills, making a client’s offer stand out becomes essential.
Farzad explained that one strategy is to remove contingencies, such as loan and appraisal contingencies, to make an offer more attractive: “Your offer has to somehow stand above others, and so removing things like loan contingencies and appraisal contingencies, or having a shorter escrow period [can help].”
Additionally, reputation and relationships in the market can make or break deals. Farzad noted that listing agents often feel more comfortable working with brokers they know or trust.
Source: mpamag.com