Realtor/Mortgage Broker = Trouble

So you decided to cover both bases because it sort of made sense... you could offer two services and be better equipped to be indispensible to your clients... not to mention make more money.

So where is the down side to all this?

Scenario 1: You are their Realtor. They have no problem telling you what they are looking for or how much they want for their property. However, they may not be comfortable discussing their private financial situation with you. Do you think your assurances will change that for them? If you lose them will you really know the reason you lost them if they don’t tell you?

Scenario 2: You are their Realtor. They like your services. They trust you. The problem with your mortgage services is that it doesn’t satisfy their needs. They have someone else giving them a better rate, better terms, etc. How do you plan to resolve this situation? Will they be comfortable with this arrangement no matter how often you try to put their minds at ease?

Scenario 3: You are their mortgage agent. They have a realtor they trust and have been dealing with for years, or their family is in Real Estate, or any other scenario where they are not going to use your services in Real Estate.  Do you suppose it is possible they will be comfortable dealing with you on one level and freezing you out on the other level? Do they have a line-up of other mortgage people vying for their business where there are no uncomfortable circumstances? Do you think you can resolve this?

Get it? It’s all about the comfort level of the customer/client. It’s not about you. If there is even a small level of doubt, discomfort, uncertainty, or lack of trust as to your intentions, you are history.

Of course I will be hearing from those of you who dispute what I am saying because you have had some measure of success wearing both hats.

Of course some customer will have no problem with you being all things to all people and making more money doing it. They might even appreciate it.

No situation is mutually exclusive from all other situations. No situation is exclusively true or perfect. No situation can be measured as to its potential for profit or loss unless you have been tracking your own history in these situations.

Bottom line... concentrate on being the best you can be at one specific profession. Create for yourself a list of dependable support services and partner with them in the completion of your job. You will garner a great deal of respect from your clients, and you will get referrals from your clients as well as from your stable of suppliers. One hand washes the other. Give and take. Reciprocity.

You stand to make more money by getting referrals from people you share with your clients, and you stand to lose less business by not trying to be too much for too many.

If you have not yet become both a mortgage agent and a real estate agent, take a word of advice. DON’T DO IT.

Sam Green