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Addressing Buyer Fatigue with Agent Kendall Bonner

October 20, 2021
/ by 
Josephine Nesbit
Addressing Buyer Fatigue with Agent Kendall Bonner

Kendall Bonner addresses buyer fatigue as an agent in this competitive market

Dwindling inventory, fast-rising prices, ruthless bidding wars, properties listed and sold in the blink of an eye, oh my. It’s been quite a crazy housing market the last two years. Home shoppers aren’t the only ones feeling the fatigue, real estate agents are feeling it too.  

“It’s extremely frustrating and exhausting for agents,” explains Kendall Bonner, broker/owner of RE/MAX Capital Realty in Tampa and a Florida licensed attorney. The competition that buyers and agents are coming up against is something that she has never experienced in her 10 years of practice. “I don't know if it's ever been this intense before, but it certainly has been that way this year.” How intense is it? Well, only about a third of recent homebuyers have had their first offer on a property accepted. This is especially true in areas like Tampa.

Out-of-state Buyers Take Advantage of the Hot Markets 

Tampa has been listed as one of the top five cities in the state of Florida that people are relocating to from out of state. Kendall has witnessed a $100,000 increase in the average home sales price within two years. “Because we have so much relocation happening here, it’s become especially hard on our local buyers,” she says. “We’ve been seeing 20 offers on a single home.”

Kendall’s local clients are competing with out-of-state buyers, who have been taking advantage of big equity gains and making cash offers up to $50,000 over the asking price. “It's made it harder for buyers to move up and to trade-in homes,” explains Kendall. “For first-time homebuyers, in particular, it’s been hard to find homes that they can afford and to win the bid on.”

Multiple Rejections and Agent Fatigue 

There’s a good amount of work that goes into each offer on a property; from hours of relationship building and viewings to paperwork and, way too many, emails. Going through this process to only be rejected is disappointing for both buyer and agent.

“It's frustrating for agents to experience that and go through that,” says Kendall. “I definitely think that the exhaustion is a result of having multiple clients lose rounds of bids and negotiations multiple times. That's not something we're used to seeing and experiencing and so I think agents are frustrated by that now more than ever. And of course, a lot of that has to do with our extremely low inventory.”

According to Kendall, Tampa’s active inventory in August 2010 had about 25,000 homes. During the same month in 2019, there were around 10,000 active listings. Fast forward to August 2021, and there were only 4,200 homes on the market. Not only is inventory extremely low, but Kendall says that homes are only sitting on the market for 13 days now on average in Tampa before being sold.

To make things even more difficult, buyers are increasingly making offers without physically visiting the property. According to research by Redfin, 63% of buyers in 2020 made an offer on a home sight unseen. While it may be convenient for buyers in an ultra-competitive market, it’s enough to give some agents a headache. 

“We are seeing an uptick on offers being written sight unseen. The problem with that is then those borrowers are canceling during their inspection period,” Kendall claims. “That’s frustrating for everyone.”

What Agents Can Do

Kendall’s number one tip for beating agent burnout, especially in Tampa, is market research. “Agents need to study the market and understand what's happening at those various price points,” she says.

She also recommends taking the time to get educated by the listing agents on the needs of the seller before putting down an offer. By knowing exactly what sellers are looking for buyers are better able to make competitive offers.

“Focus on putting dollars back into the seller’s pocket,” Kendall advises. For example, instead of offering thousands of dollars above appraisal value, a buyer can offer to contribute those funds towards the seller’s closing costs. “You can make an offer much stronger for a seller to accept than just trying to write the highest offer,” she adds. 

Another option is for your clients to make an offer in all cash, to eliminate contingencies. This is where Ribbon can help. 

How Ribbon Can Help

RibbonCash Offer gives buyers the leverage they need to stay competitive in this market, especially in a multiple offer situation. Ribbon can help your clients by allowing them to confidently make an all-cash offer that eliminates contingencies for a faster and more sure buying/selling process. Once the offer is accepted, your buyer can move (once the sale is closed) and worry about financing later. A win for all.

Interested in learning more about how Ribbon can help? Book time with an expert.

Written by: 
Josephine Nesbit