Bad NewsHaving to deliver bad news to clients is part of the business. However, how you deliver the bad news can determine if you are able to keep them as clients.

Whether it’s a deal taking a turn for the worse, bad news with financing or a buyer not being able to perform, it’s imperative that we take the right approach with our clients. It’s their financial future on the line. Here are three tips to take when having to deliver the bad news:

  1. Be the first to share. Don’t let anyone beat you to the punch with the news. This lets your clients know that you are on top of the situation and fully informed. Make sure your vendors, whether title or lender, know to communicate with you rather than with your client. The news should always come from you. 
  1. Be quick about it. Being quick to share ensures that the news comes from you. Be quick, even if you don’t have all the facts. The biggest stress your clients will experience is in not knowing. Never let them end their day without updates, no matter how bad the news is. In the end, they will be extremely grateful for the communication. 
  1. Share all pertinent information. Never forget the magnitude of deciding to buy or sale a home. Your clients are entitled to know all the facts. Share what you know. Like ripping off a Band-Aid, it’s better to get all the bad news at once if possible then little pieces of news. No one will ever complain about transparency. 

Communication is the key ingredient to professionalism and offering great customer service. Remember the Golden Rule – how would you want to be communicated with if you were in their shoes. Clear and constant communication is the best way to retain clients.

For more entrepreneurial tips to enhancing your real estate business, order my book, 21 Habits of the Highly Successful Real Estate Entrepreneur.

By Mike Weinstein, MBA