Stop Saying “Date the Rate, Marry the House”
Admit it, you've been guilty of posting "Date the Rate, Marry the House" on social media. Or posts showing mortgage payment comparisons between buying at a higher price earlier this year with a lower mortgage interest rate, as compared to buying at a discount now with a higher rate.
Stop it. Go back and delete that post. Please.
Not that it's bad advice, it's just that you're sending the wrong message. Unless you just started your career a few months ago in this current interest rate hiking cycle, you would likely have clients that you sold homes to in that higher price, lower rate environment.
What's your message to them by posting that? That they're suckers for buying at a high price and they should have waited for housing prices to come down even though they'd be (temporarily) paying more interest? That's not good. It makes you look like you have "commission breath" and gives our industry a bad name.
Rather, be mindful of your past clients.
Call them and check in with them. See if they are worried, or potentially going to get into trouble.
Besides, you don't know that mortgage rates will even come down. Or how long it will take, if it does happen. No one knows. Don't put them in a difficult financial situation.
If you want to continue to sell to new clients that are contemplating buying or selling in this environment, then sure, tell them the benefits of buying now, if that's indeed the right move for them. Owning real estate is a long-term relationship, and every situation is different.
If they can afford the higher payments and that it's the right move for them, then you won't need to use cringy catchphrases anyway.
Ken runs a weekly podcast about Toronto real estate. Check it out on Apple Podcasts and Spotify by searching "Broadview Table Talks".
Link: www.broadviewavenue.ca/podcast