Realtor - May/June 2013

Servi n g

T hose Wh o Se rve

The military can be a robust source of home buyers.

Real estate pros who understand their needs can make transfers easier as they make clients for life.

How would you like a steady stream of buyers who may need your services every three to five years, can make fast buying decisions, and can refer you to others in their close-knit, highly mobile community? The military niche could be a way to grow your real estate business. Military buyers and sellers benefit from having a real estate professional who understands their distinct needs. In May, the Real Estate Buyer’s Agent Council, as part of its Accredited Buyer’s Representative (ABR®) designation, launches a one-day elective course called “Working With Military Buyers,” which will educate real estate professionals about this robust market.

This niche offers wide opportunities. There are now 1. 2 million active-duty service members in the United States, in addition to nearly 22 million military veterans. “The pool of clientele for real estate professionals to reach out to is huge,” says Maura Neill, ABR®, CRS®, e-PRO®, lead instructor of the “Military Buyers” course and a real estate professional with RE/MAX Around Atlanta. Do you have what it takes to work effectively with military buyers? Here are some tips for success.

Be Ready For Tight Deadlines

Active-duty military personnel often have to make homebuying decisions quickly. When they receive relocation orders, families may have no more than 60 to 90 days to move. Within that time frame, they may have a week to make an offer on a house, says Jo Anne Littleton, ABR®, a sales associate with Prudential John M. Brabham Real Estate in Sumter, S.C., who works with military clients and helped develop the REBAC course. She says this “power house hunt” requires considerable work with buyers before they arrive to educate them about the market, provide community information, and identify home preferences, such as proximity to the base. When buyers arrive, they typically view 15 to 20 homes in a few days while Littleton helps them keep their leading choices top of mind.

Bone Up On Financing Options

Special financing is available for active-duty military, veterans, and eligible surviving spouses from the U.S. Department of Veterans Affairs, including 100 percent financing options provided by private lenders with no down payment or private mortgage insurance requirement. The pros and cons of these types of loans will be covered in the REBAC course, Neill says. Also, real estate professionals should consider partnering with a lender to offer a home-buying seminar for military members.

Tune In To Short-Term Buyers

In a 20-year military career, a typical family will relocate six or seven times—or about every three years, according to the National Military Family Association. Real estate professionals should be prepared to address whether potential buyers can build equity in such a short time frame. Agents may need to discuss the trajectory of home prices in the local market to help clients make the best decision.

Build Allies For The Long Term

After settlement day is over and the house keys have been exchanged, don’t lose
touch. Military clients likely will need your services again soon. “Stay in touch with
purpose,” Neill says. “Think about what you can you help them with. When they’re
living off base, they can feel isolated.”
Littleton, who moved nine times within 16 years as a military spouse herself,
knows the challenges of getting assimilated after a move. She tries to get her clients
connected to the community and introduces them to contractors, particularly if one
spouse has been deployed and the other may need help with home repairs or yard
maintenance. “The military represents a huge market for real estate professionals who
live nearby,” Littleton says. “The REBAC course can help you better understand their
circumstances and gain knowledge about how you can best serve them.”