WEBVTT 00:00:00.000 --> 00:00:03.040 Ever wonder what really happens behind the scenes 00:00:03.040 --> 00:00:05.379 in construction, real estate, and development? 00:00:05.559 --> 00:00:08.220 We pull back the curtain on the new home construction 00:00:08.220 --> 00:00:11.060 industry, the real estate market and the trends 00:00:11.060 --> 00:00:14.080 shaping it all. Discover the stories, insights 00:00:14.080 --> 00:00:16.219 and expertise behind the process of building 00:00:16.219 --> 00:00:19.620 a new home. Join us for Trust the Process podcast 00:00:19.620 --> 00:00:22.440 and let's build something great together. Welcome 00:00:22.440 --> 00:00:25.699 back to Trust the Process podcast where we talk 00:00:25.699 --> 00:00:28.280 about the real estate industry, the housing market 00:00:28.280 --> 00:00:31.559 and everything in between. So throughout the 00:00:31.559 --> 00:00:35.990 course of a Custom or any home build there is 00:00:35.990 --> 00:00:39.189 a time -lapse that happens and so now you have 00:00:39.189 --> 00:00:41.090 personalities the human side of that We have 00:00:41.090 --> 00:00:42.969 an agent. We have a buyer. We have the builder 00:00:42.969 --> 00:00:46.130 We have all of those people and how that comes 00:00:46.130 --> 00:00:48.469 together and some of the fatigue that we feel 00:00:48.469 --> 00:00:50.070 and how we get through that and the struggles 00:00:50.070 --> 00:00:51.909 that we Conquer together and throughout that 00:00:51.909 --> 00:00:53.929 process so thought that would be an interesting 00:00:53.929 --> 00:00:56.509 topic and if you've ever bought a home, you know 00:00:56.509 --> 00:01:00.509 and for as a builder, you know, you get tired 00:01:00.509 --> 00:01:02.530 of Yeah, I'm already tired of just thinking about 00:01:02.530 --> 00:01:06.030 it. Yeah, it's a lot to drag yourself through 00:01:06.030 --> 00:01:10.609 and worth it at the end result, but there's some 00:01:10.609 --> 00:01:12.769 struggle in the middle there. Yeah, I think we're 00:01:12.769 --> 00:01:14.629 kind of covering two topics here. So we're talking 00:01:14.629 --> 00:01:16.730 about a real estate transaction where someone's 00:01:16.730 --> 00:01:19.510 buying one of our builds or buying a build. And 00:01:19.510 --> 00:01:21.170 that could be at various levels of completion. 00:01:21.209 --> 00:01:22.849 We have two that are completely done so we could 00:01:22.849 --> 00:01:24.890 move in next week if they were a cash transaction. 00:01:24.890 --> 00:01:28.510 And then we have 13 or 14 more that are at various 00:01:28.510 --> 00:01:30.469 stages. Some are two months from being completed, 00:01:30.489 --> 00:01:32.359 some are a year from being completed, depending 00:01:32.359 --> 00:01:34.939 on, we're just getting out of permitting on one, 00:01:35.019 --> 00:01:37.099 six to one, that we're going to be built at the 00:01:37.099 --> 00:01:40.939 same time. That's a lot of time. We also have 00:01:40.939 --> 00:01:44.040 a brokerage, and even a 30 -day transaction with 00:01:44.040 --> 00:01:46.780 a buyer and a seller, you get fatigued. Day seven, 00:01:46.780 --> 00:01:48.739 day 10, day 13, but you've got light at the end 00:01:48.739 --> 00:01:50.239 of the tunnel. You've got two more weeks to get 00:01:50.239 --> 00:01:52.319 through it. Hope the move out goes well. Hope 00:01:52.319 --> 00:01:54.019 everything's clean. Hope the buyers are happy. 00:01:54.060 --> 00:01:56.799 Hope the house doesn't fall down day two. It's 00:01:56.799 --> 00:01:58.340 a much quicker transaction. It's just quicker 00:01:58.340 --> 00:02:03.000 so you don't fatigue of each other so much. And 00:02:03.000 --> 00:02:05.459 there's a lot less going on. So it's just a couple 00:02:05.459 --> 00:02:08.719 of negotiating factors. Appraisal, home inspection, 00:02:09.139 --> 00:02:12.400 repair request. There's like three friction points, 00:02:12.560 --> 00:02:14.800 including the initial offer. So there's just 00:02:14.800 --> 00:02:17.060 not as much friction. When someone comes in and 00:02:17.060 --> 00:02:19.860 buys one of our builds, there's a lot of friction 00:02:19.860 --> 00:02:21.759 there depending on what stage of the transaction 00:02:21.759 --> 00:02:23.939 it's in. If someone were to buy, we have three 00:02:23.939 --> 00:02:27.419 right now that are whathed and ready to be stuccoed, 00:02:27.479 --> 00:02:29.979 the roofs are on them. They're about two to three 00:02:29.979 --> 00:02:32.419 months away from being done. Somebody walks into 00:02:32.419 --> 00:02:34.759 that and doesn't see the cabinets there and wonders 00:02:34.759 --> 00:02:37.240 why they have to go with the cabinets that we 00:02:37.240 --> 00:02:39.530 already specced. Can't you put them somewhere 00:02:39.530 --> 00:02:42.270 else? No, this is what is spec'd here. What about 00:02:42.270 --> 00:02:44.870 shower towel? The lead time on those, what they 00:02:44.870 --> 00:02:47.229 don't realize is that getting to that point, 00:02:47.270 --> 00:02:49.689 we had to order those cabinets long before they 00:02:49.689 --> 00:02:51.310 showed up on the scene and they were already 00:02:51.310 --> 00:02:53.189 in route. So that's one of the first things that 00:02:53.189 --> 00:02:56.710 we need to get out of the way. But in the buyer's 00:02:56.710 --> 00:02:58.169 mind, they're like, Beau, why not? They're not 00:02:58.169 --> 00:02:59.990 here yet. Why can't we just do the other ones? 00:03:00.009 --> 00:03:01.409 We'll just change it. Just change them out. Can 00:03:01.409 --> 00:03:02.930 you add more? Can you add some plumbing? Can 00:03:02.930 --> 00:03:05.569 you add some electrical? No. And when I was new 00:03:05.569 --> 00:03:07.669 in this, especially when it was really becoming 00:03:07.669 --> 00:03:10.659 a true business about six, seven years ago, I 00:03:10.659 --> 00:03:13.099 made a lot of mistakes. I'll humbly admit that 00:03:13.099 --> 00:03:15.240 I made a lot of mistakes about letting buyers 00:03:15.240 --> 00:03:19.120 come in and rule the show. And you felt so gratified. 00:03:19.259 --> 00:03:21.340 Oh, someone wants to buy something I created. 00:03:22.139 --> 00:03:23.699 Of course, oh yeah, you want to change this? 00:03:23.719 --> 00:03:25.939 I want you to love it. That lasts about three 00:03:25.939 --> 00:03:29.460 times. And then now it's no, I mean, the contract 00:03:29.460 --> 00:03:33.240 we have is 99 pages long. We have really strict 00:03:33.240 --> 00:03:37.430 cutoffs that the whole company buys into that, 00:03:37.449 --> 00:03:39.550 nope, I don't care who you talk to on site, I 00:03:39.550 --> 00:03:41.490 don't care if you dealt with the sales side, 00:03:41.550 --> 00:03:45.289 the marketing side, there's no one person, even 00:03:45.289 --> 00:03:49.270 me, that can deviate from that. So we made that 00:03:49.270 --> 00:03:52.110 ironclad for those reasons. But it's those friction 00:03:52.110 --> 00:03:54.990 points that cause the fatigue. I get tired of 00:03:54.990 --> 00:03:58.009 saying no, they get tired of hearing no, they 00:03:58.009 --> 00:04:00.750 start getting resentful about buying a two and 00:04:00.750 --> 00:04:02.530 a half million dollar home and they can't change. 00:04:03.229 --> 00:04:05.270 shower towel because we already ordered it. It's 00:04:05.270 --> 00:04:07.509 already sitting at BDG's warehouse. It's ready 00:04:07.509 --> 00:04:11.569 to go in. You know, the labor is queued up for 00:04:11.569 --> 00:04:13.289 Tuesday and it's Friday. You're asking us to 00:04:13.289 --> 00:04:15.590 change it. No, I'm sorry. We can't change it. 00:04:16.209 --> 00:04:17.449 Can you have an outlet? No, there's just things 00:04:17.449 --> 00:04:21.290 that we cannot deviate from. So you get some 00:04:21.290 --> 00:04:23.930 bad blood. It just, it's natural and it's okay. 00:04:24.189 --> 00:04:27.139 I've priced that into the equation now. as a 00:04:27.139 --> 00:04:29.839 builder to say, you know what, it's not my responsibility 00:04:29.839 --> 00:04:32.720 to make them love this house. I'm building this 00:04:32.720 --> 00:04:34.620 house. If they love it, then they should buy 00:04:34.620 --> 00:04:36.459 it. And if there's things that they want to do 00:04:36.459 --> 00:04:39.100 to it after, to make them love it more, that's 00:04:39.100 --> 00:04:42.019 on them. I can't be responsible for making sure 00:04:42.019 --> 00:04:44.019 they walk in on day one and saying, oh, this 00:04:44.019 --> 00:04:46.560 is perfect. I wouldn't change a thing. It's just 00:04:46.560 --> 00:04:49.740 not realistic. That's not, you can't, you can't 00:04:49.740 --> 00:04:52.120 make a business out of that. That's a hobby at 00:04:52.120 --> 00:04:54.339 that point. where you say, oh, I build really 00:04:54.339 --> 00:04:55.959 great custom homes and I build one house a year. 00:04:56.040 --> 00:04:57.639 And I work with a client and blah, blah, blah. 00:04:57.959 --> 00:05:00.139 And we basically work as a, like we're basically 00:05:00.139 --> 00:05:02.519 being commissioned to build a house. And we do 00:05:02.519 --> 00:05:04.839 have some build to suit clients like that, but 00:05:04.839 --> 00:05:07.339 they pay accordingly. They pay for that convenience 00:05:07.339 --> 00:05:10.040 and they're looking down the barrel of a two 00:05:10.040 --> 00:05:14.079 to three year commitment with us. So when you 00:05:14.079 --> 00:05:15.839 - And there's a fatigue that goes into that too. 00:05:15.899 --> 00:05:17.560 I usually fatigue by the time I sign the contract. 00:05:17.579 --> 00:05:20.600 In fact, we've walked away from. as recently 00:05:20.600 --> 00:05:24.319 as last month, a massive build that would have 00:05:24.319 --> 00:05:27.360 been huge for the company. And we just didn't 00:05:27.360 --> 00:05:29.459 have the personality match. And that's exactly 00:05:29.459 --> 00:05:31.500 - Just being able to recognize that on the front 00:05:31.500 --> 00:05:34.579 end saved so much headache, so much heartache, 00:05:34.660 --> 00:05:36.339 so much who knows what it would have taken from. 00:05:36.339 --> 00:05:38.439 To use that as an anecdote, I know the build. 00:05:38.670 --> 00:05:40.449 builder that they chose, I know the company that 00:05:40.449 --> 00:05:43.509 they chose, and I can assure you that we made 00:05:43.509 --> 00:05:45.529 the right decision by walking away. I won't get 00:05:45.529 --> 00:05:47.329 in any more detail. Maybe off camera I will. 00:05:47.829 --> 00:05:48.730 Okay. But we made the right... Yeah, of course 00:05:48.730 --> 00:05:50.810 you will off camera. Of course I will. We were 00:05:50.810 --> 00:05:52.750 on our second meeting. After the first meeting 00:05:52.750 --> 00:05:54.769 I realized it was a foregone conclusion that 00:05:54.769 --> 00:05:55.850 I was not going to be able to work with this 00:05:55.850 --> 00:05:58.370 guy. And then the second was more of a courtesy 00:05:58.370 --> 00:06:01.389 to say, well, maybe it was me. Let's go in with 00:06:01.389 --> 00:06:03.730 more concrete numbers at a second meeting and 00:06:03.730 --> 00:06:06.990 you saw me turn four shades of red. Like, mmm. 00:06:07.560 --> 00:06:09.560 It's not going to work. It's not going to work. 00:06:09.939 --> 00:06:11.620 And we walked away from it. And I send a really 00:06:11.620 --> 00:06:14.660 nice email. And unfortunately, our personalities 00:06:14.660 --> 00:06:17.399 are not compatible for a two -year build on a 00:06:17.399 --> 00:06:20.519 9 ,000 -square -foot home. It was a massive home 00:06:20.519 --> 00:06:23.939 that hugged the hillside. It was for a celebrity. 00:06:24.699 --> 00:06:27.420 Yeah. Huge project. Big project. And it would 00:06:27.420 --> 00:06:29.819 have been cool for the company. Great accolades 00:06:29.819 --> 00:06:33.879 for the company. And still, your integrity said, 00:06:34.199 --> 00:06:36.980 I just can't take it. Yeah. Can't do it. Can't 00:06:36.980 --> 00:06:40.740 do it. So those are the fatigues. As a builder, 00:06:40.899 --> 00:06:42.819 I fatigue much quicker because even though this 00:06:42.819 --> 00:06:46.019 is my business, I already, you know, when you 00:06:46.019 --> 00:06:48.060 have young kids and you know they're going to 00:06:48.060 --> 00:06:50.339 freak out over one thing and you're so tired 00:06:50.339 --> 00:06:52.480 of that friction point, whether it's brushing 00:06:52.480 --> 00:06:55.040 their teeth or whether it's going to bed, sometimes 00:06:55.040 --> 00:06:57.680 this business feels like that. Like, can we change 00:06:57.680 --> 00:06:59.480 this refrigerator to the other side of the kitchen? 00:06:59.879 --> 00:07:02.360 No. And when you say no, you're waiting for the 00:07:02.360 --> 00:07:04.139 tantrum. You're waiting for the buildup. You're 00:07:04.139 --> 00:07:06.220 waiting for the 4 a .m. email or 3 a .m. email 00:07:06.220 --> 00:07:08.920 where they're fired up and they've got a bunch 00:07:08.920 --> 00:07:12.300 of things to say to you. And it's those, that's 00:07:12.300 --> 00:07:15.139 where I fatigue. Here we go. And part of it is 00:07:15.139 --> 00:07:17.600 setting an expectation from the start, letting 00:07:17.600 --> 00:07:20.259 them know this is the timeline we're under. These 00:07:20.259 --> 00:07:21.939 are the things we will and won't change. And 00:07:21.939 --> 00:07:24.420 so if you can lay all that up front, it does 00:07:24.420 --> 00:07:28.800 help some. You still end up in the battles, but 00:07:28.800 --> 00:07:32.769 you at least have some leverage too. We're a 00:07:32.769 --> 00:07:35.009 hundred page contract. Yeah. So much of that 00:07:35.009 --> 00:07:37.230 is outlined in there. And remember when we talked 00:07:37.230 --> 00:07:40.250 about XYZ, let's reference back and see what 00:07:40.250 --> 00:07:41.850 our, you know, it gives you something to lean 00:07:41.850 --> 00:07:44.750 into and helps them to recognize we're not just 00:07:44.750 --> 00:07:48.230 being difficult. These are, this is how we build. 00:07:48.389 --> 00:07:50.870 Exactly. And there's a reason why you can come 00:07:50.870 --> 00:07:53.569 to us and have a brand new, basically semi -custom. 00:07:53.709 --> 00:07:56.449 It's custom to us, but you semi -customized it 00:07:56.449 --> 00:07:58.949 and you were in it in three to four months. If 00:07:58.949 --> 00:08:01.069 you started from nothing, you're three years. 00:08:02.030 --> 00:08:05.310 Minimum two so you're in something within the 00:08:05.310 --> 00:08:07.829 same calendar year many times There's going to 00:08:07.829 --> 00:08:10.389 be some things that you give up with that. So 00:08:10.389 --> 00:08:13.250 it's that friction that really can fatigue all 00:08:13.250 --> 00:08:17.949 the entire team That's the other thing too And 00:08:17.949 --> 00:08:20.170 if I were to say that I'm not emotional then 00:08:20.170 --> 00:08:23.470 I'd be lying because I 100 % get emotional Number 00:08:23.470 --> 00:08:26.069 one about the company and about the team if someone's 00:08:26.069 --> 00:08:27.529 disrespectful. We had a client couple years ago 00:08:27.529 --> 00:08:31.089 so incredibly disrespectful to the team, never 00:08:31.089 --> 00:08:34.870 even directly to me. And I just could not, I 00:08:34.870 --> 00:08:36.850 could not work with that person anymore. We did 00:08:36.850 --> 00:08:37.950 exactly what we were supposed to do. We were 00:08:37.950 --> 00:08:39.690 supposed to do another project with them, completely 00:08:39.690 --> 00:08:42.330 cancel that. Just not gonna do it. Unfortunately, 00:08:42.409 --> 00:08:45.289 you're too mean to the team. You think that you 00:08:45.289 --> 00:08:48.809 can speak to people in a manner that doesn't 00:08:48.809 --> 00:08:51.610 convey respect and doesn't convey the fact that 00:08:51.610 --> 00:08:54.200 we are actually all a team. and you and your 00:08:54.200 --> 00:08:55.600 wife change this this and this and you're wondering 00:08:55.600 --> 00:08:57.639 why your timeline has been pushed out three months 00:08:57.639 --> 00:09:01.259 and you're blowing us up at 4 a .m. with no consideration 00:09:01.259 --> 00:09:05.460 of our lives and you don't own us when you go 00:09:05.460 --> 00:09:08.490 to contract with us. We are here to perform something. 00:09:08.950 --> 00:09:11.889 That's that you don't own us. It's still... And 00:09:11.889 --> 00:09:13.889 yes, it's a symbiotic relationship and we're 00:09:13.889 --> 00:09:15.610 here to help you and you're here to help us and 00:09:15.610 --> 00:09:17.750 we'll work together but... We're all a team. 00:09:18.509 --> 00:09:20.370 Right, and we're only as strong as you are. So 00:09:20.370 --> 00:09:21.909 if you're gonna be changing things or if you're 00:09:21.909 --> 00:09:23.409 gonna be emotional and you're gonna be blowing 00:09:23.409 --> 00:09:26.309 up and that's when when you talk about agent 00:09:26.309 --> 00:09:29.350 fatigue. We get agent fatigue as well with our 00:09:29.350 --> 00:09:31.029 company when we have a buyer's agent coming in 00:09:31.029 --> 00:09:33.370 trying to make themselves a hero and all they're 00:09:33.370 --> 00:09:35.269 doing is compromising their client's position. 00:09:35.549 --> 00:09:37.490 because they don't know the industry standards, 00:09:37.690 --> 00:09:39.970 they don't know the steps. Everyone becomes a 00:09:39.970 --> 00:09:41.549 building expert the minute they sign on the data 00:09:41.549 --> 00:09:43.710 line. And the minute an agent brings a buyer, 00:09:43.929 --> 00:09:45.769 they might have done five transactions last year, 00:09:46.149 --> 00:09:48.110 and they've done one new construction in 10 years, 00:09:48.149 --> 00:09:49.889 but they become a construction expert at that 00:09:49.889 --> 00:09:51.990 time. And then they start picking things apart, 00:09:52.169 --> 00:09:53.529 and they start looking for different timelines 00:09:53.529 --> 00:09:57.110 and trying to win. Yeah, exactly. But all you're 00:09:57.110 --> 00:10:01.120 doing is ruining, you're souring the well. because 00:10:01.120 --> 00:10:03.019 we ultimately still have to work together. And 00:10:03.019 --> 00:10:05.559 we have these discussions even on the brokerage 00:10:05.559 --> 00:10:08.179 side. Yes, technically you as a seller don't 00:10:08.179 --> 00:10:10.980 have to do X, Y, and Z, but do you want to do 00:10:10.980 --> 00:10:13.019 that and keep goodwill? Because maybe you had 00:10:13.019 --> 00:10:14.679 some major emergency. You weren't able to get 00:10:14.679 --> 00:10:16.360 to the signing table on time, blah, blah, blah. 00:10:16.519 --> 00:10:19.039 Now you have a two -day delay in closing, and 00:10:19.039 --> 00:10:22.200 you need that buyer's goodwill to make sure this 00:10:22.200 --> 00:10:24.620 all stays together. Or you couldn't get out. 00:10:24.679 --> 00:10:26.639 The house recorded at four. Technically the contract 00:10:26.639 --> 00:10:28.759 says... Any personal property that's left in 00:10:28.759 --> 00:10:31.139 the home at time of recording becomes the new 00:10:31.139 --> 00:10:33.980 buyer's property. I left a car in the garage 00:10:33.980 --> 00:10:36.019 and I wasn't able to get there in time. Well, 00:10:36.179 --> 00:10:37.460 technically, I mean, cars are different because 00:10:37.460 --> 00:10:39.820 it's a title to it, but still, I mean, you could 00:10:39.820 --> 00:10:41.679 have a dispute on your end. So why would you 00:10:41.679 --> 00:10:46.500 sour the well and be so belligerent? And unfortunately, 00:10:46.779 --> 00:10:50.659 that's probably 50 % of the time we get buyers 00:10:50.659 --> 00:10:52.919 that are like that on our bills and they just 00:10:52.919 --> 00:10:54.700 ... or the agent wants to be here or something. 00:10:54.740 --> 00:10:58.039 Yeah, I think the agents tend to... Fluffs up 00:10:58.039 --> 00:10:59.899 problems where there maybe wouldn't be problems. 00:11:00.200 --> 00:11:03.240 So, we talk about the fatigue that we feel, that's 00:11:03.240 --> 00:11:06.000 what we feel. I fatigue first, sorry agents in 00:11:06.000 --> 00:11:07.740 the audience, I fatigue first with the agent, 00:11:08.240 --> 00:11:09.820 right? Because they're coming in, they're getting 00:11:09.820 --> 00:11:12.779 a massive payday. Yes, that payday is associated 00:11:12.779 --> 00:11:15.419 with the client that they brought us. But on 00:11:15.419 --> 00:11:17.559 a $3 million home, those are big paychecks for 00:11:17.559 --> 00:11:20.720 those agents. And instead of working with us 00:11:20.720 --> 00:11:24.379 to help better... their clients experience and 00:11:24.379 --> 00:11:27.820 iron out things, they're working against us and 00:11:27.820 --> 00:11:29.980 they're thinking it's an adversarial relationship. 00:11:30.460 --> 00:11:32.700 And you came from a tonnage builder. You came 00:11:32.700 --> 00:11:34.679 from a builder that closed a lot of transactions 00:11:34.679 --> 00:11:37.460 and was pretty adversarial with agents and didn't 00:11:37.460 --> 00:11:43.919 pay them. We didn't need them at the time. That 00:11:43.919 --> 00:11:47.000 builder doesn't need the agent interaction and 00:11:47.000 --> 00:11:48.879 it does nothing but sour the deal. And then they 00:11:48.879 --> 00:11:52.840 come in trying to hardball on on a home that, 00:11:52.899 --> 00:11:55.179 you know, we can sell the homes without their 00:11:55.179 --> 00:11:57.399 interaction. Right, especially where his niche 00:11:57.399 --> 00:12:00.179 was. He was an entry -level, high volume, and 00:12:00.179 --> 00:12:03.840 a really bull market. I think luxury is different. 00:12:04.120 --> 00:12:05.799 We expect for there to be an agent. A hundred 00:12:05.799 --> 00:12:08.519 percent. And I love partnering with agents. Exactly. 00:12:08.580 --> 00:12:11.460 And as an agent myself, right? I mean you from 00:12:11.460 --> 00:12:13.919 the brokerage and myself as an active, you know, 00:12:14.059 --> 00:12:17.139 on the resale side too. So I can respectfully 00:12:17.139 --> 00:12:19.820 know that there is a position for that. A hundred 00:12:19.820 --> 00:12:20.899 percent. And you want that buyer to have that 00:12:20.899 --> 00:12:23.480 support. But you also need for that agent to 00:12:23.480 --> 00:12:25.539 understand that we're all in it together, right? 00:12:25.639 --> 00:12:28.919 And so we're all working. together to a common 00:12:28.919 --> 00:12:31.379 goal. It's not you against me. It's not him against 00:12:31.379 --> 00:12:35.159 them. It's us together in this against the obstacles 00:12:35.159 --> 00:12:37.240 that building a home will bring. There's already 00:12:37.240 --> 00:12:39.220 enough trials and tribulations that come with 00:12:39.220 --> 00:12:42.419 it. We don't need to have this kind of adversarial 00:12:42.419 --> 00:12:45.879 one -upsmanship and, oh, the house. We had a 00:12:45.879 --> 00:12:48.840 great example last year. Clean the house, everything 00:12:48.840 --> 00:12:50.779 left. The agent walks through one more time because 00:12:50.779 --> 00:12:52.639 the buyer hadn't. wasn't planning on moving in 00:12:52.639 --> 00:12:55.000 for two more weeks and she's like this place 00:12:55.000 --> 00:12:57.559 is filthy she's sending us pictures of dust on 00:12:57.559 --> 00:13:00.480 the pendant lights and things like that and as 00:13:00.480 --> 00:13:03.240 it turns out oh also the driveway was dirty all 00:13:03.240 --> 00:13:05.720 the pavers are filthy as it turns out in the 00:13:05.720 --> 00:13:08.480 two weeks that he lapsed since closing the buyers 00:13:08.480 --> 00:13:12.519 had a really robust security system put in which 00:13:12.519 --> 00:13:14.360 caused a lot of dust from drilling and the agent 00:13:14.360 --> 00:13:16.039 didn't notice there were cameras and sensors 00:13:16.039 --> 00:13:18.639 it didn't realize oh that was eagle Well, I won't 00:13:18.639 --> 00:13:20.980 say the name of the company. That was the security 00:13:20.980 --> 00:13:24.320 company. And then the driveway was filthy because 00:13:24.320 --> 00:13:26.340 she neglected to check the garage and the garage 00:13:26.340 --> 00:13:28.960 had been epoxied. So when they ground down all 00:13:28.960 --> 00:13:30.639 the concrete and pressure washed it, the company 00:13:30.639 --> 00:13:33.379 that did the epoxy left the driveway a mess and 00:13:33.379 --> 00:13:35.360 it became our problem. And I remember calling 00:13:35.360 --> 00:13:37.559 my partner and going, there's no way we left 00:13:37.559 --> 00:13:38.980 the house like that. There's no way we left the 00:13:38.980 --> 00:13:40.480 driveway like that because I was there in closing 00:13:40.480 --> 00:13:42.580 day. I remember, I remember how it looked. I 00:13:42.580 --> 00:13:44.480 would have definitely said, Hey, let's send out 00:13:44.480 --> 00:13:46.659 somebody to clean this driveway out. Right. And 00:13:46.659 --> 00:13:49.379 that caused us to investigate further. And maybe 00:13:49.379 --> 00:13:50.919 she was doing it for one -off -smanship or maybe 00:13:50.919 --> 00:13:53.259 she was just like automatically ready for a fight. 00:13:53.460 --> 00:13:55.840 But it just, all those stories over the years 00:13:55.840 --> 00:13:57.460 when you've taken all this risk, because that 00:13:57.460 --> 00:13:59.500 was a spec home that I built. I've taken all 00:13:59.500 --> 00:14:01.179 this risk. I purchased the land. It had been 00:14:01.179 --> 00:14:04.480 a two -year project. They came in 45 days before 00:14:04.480 --> 00:14:06.480 it was done, went to contract and closed the 00:14:06.480 --> 00:14:08.799 minute we got the certificate of occupancy. And 00:14:08.799 --> 00:14:11.480 then the agent blows in and gets a huge payday 00:14:11.480 --> 00:14:14.750 and... Doesn't let's say you did find that the 00:14:14.750 --> 00:14:16.289 builder could have done a little bit better job 00:14:16.289 --> 00:14:17.710 with cleaning Which is not true because we always 00:14:17.710 --> 00:14:19.610 clean them right at the very end. Yes, if you 00:14:19.610 --> 00:14:23.870 made $93 ,000 on a transaction maybe spend $180 00:14:23.870 --> 00:14:27.889 or $250 as a courtesy cleaner Do it as a crazy 00:14:27.889 --> 00:14:30.450 for your buyer just to say I'm gonna smooth this 00:14:30.450 --> 00:14:33.470 out This is how I built my brokerage business 00:14:33.470 --> 00:14:36.529 by doing things like this You can even look like 00:14:36.529 --> 00:14:40.320 a hero to your buyers and say Yes, the builder 00:14:40.320 --> 00:14:43.379 cleaned it. However, it's not my standard of 00:14:43.379 --> 00:14:46.320 clean I'm not going to go sour the well with 00:14:46.320 --> 00:14:48.720 you and the builder So I went ahead and just 00:14:48.720 --> 00:14:50.480 sent my cleaners and I hope that's okay But the 00:14:50.480 --> 00:14:53.500 house looks more in my and on my standards of 00:14:53.500 --> 00:14:55.700 how a house should look When you take possession 00:14:55.700 --> 00:14:57.740 of it, especially new construction luxury get 00:14:57.740 --> 00:14:59.600 through, you know What what are the variables 00:14:59.600 --> 00:15:01.799 that may have created all this dust? Okay. Well 00:15:01.799 --> 00:15:03.740 if they were doing they have only for two weeks 00:15:03.740 --> 00:15:05.700 Maybe we should make sure that they didn't make 00:15:05.700 --> 00:15:07.740 this and you don't just assumptively imagine 00:15:07.740 --> 00:15:10.419 that the builder left left it a mess, but if 00:15:10.419 --> 00:15:12.340 you haven't thought it through, then that would 00:15:12.340 --> 00:15:13.799 not be how it looks. Yeah, if your knee jerk 00:15:13.799 --> 00:15:16.320 reaction is, well I better show value, I better 00:15:16.320 --> 00:15:18.340 beat these guys up, and the buyers are gonna 00:15:18.340 --> 00:15:21.080 think I'm a hero. By the way, just candidly, 00:15:21.299 --> 00:15:23.759 she didn't look like a hero to them. In separate 00:15:23.759 --> 00:15:25.220 conversations with them, we had to do a little 00:15:25.220 --> 00:15:28.500 bit of warranty stuff with the pool. That didn't 00:15:28.500 --> 00:15:30.240 impress, that type of behavior doesn't generally 00:15:30.240 --> 00:15:31.620 impress buyers. Because they were fatigued with 00:15:31.620 --> 00:15:34.419 her. They were fatigued with her, exactly. And 00:15:34.419 --> 00:15:36.399 we had already built enough goodwill that they 00:15:36.399 --> 00:15:39.440 knew, okay, well that doesn't... And she was 00:15:39.440 --> 00:15:42.539 wrong, so she lost credibility. And for every 00:15:42.539 --> 00:15:44.080 one of those stories, I have 10 more behind it 00:15:44.080 --> 00:15:46.379 that I could think of, right, if I really sat 00:15:46.379 --> 00:15:48.379 down and thought about what that looks like. 00:15:48.740 --> 00:15:51.259 So there were times where I was very disenchanted 00:15:51.259 --> 00:15:53.480 with having buyer's agents at all. But unfortunately, 00:15:53.519 --> 00:15:55.340 in the luxury market, we build a lot of niche 00:15:55.340 --> 00:15:58.919 markets, like SoftShort. I need really strong 00:15:58.919 --> 00:16:01.360 agent connections so that when they have a buyer 00:16:01.360 --> 00:16:04.100 coming into town, they're a really reputable 00:16:04.100 --> 00:16:06.519 agent. I know they're going to make sure they 00:16:06.519 --> 00:16:08.740 at least get through my homes and look at my 00:16:08.740 --> 00:16:11.059 inventory. So that's goodwill that comes both 00:16:11.059 --> 00:16:13.440 ways. I don't just assume that the agent comes 00:16:13.440 --> 00:16:15.120 in a submissive position to me and has to have 00:16:15.120 --> 00:16:17.419 goodwill. I understand that I want to have goodwill 00:16:17.419 --> 00:16:19.799 and a good reputation. But I also will not bend 00:16:19.799 --> 00:16:22.279 from my standards and industry standards as well 00:16:22.279 --> 00:16:25.279 for the sake of someone's expectations or ego. 00:16:25.460 --> 00:16:26.779 Of course, the theory in business, you should 00:16:26.779 --> 00:16:28.970 always delight your customer. I know homes are 00:16:28.970 --> 00:16:31.909 delightful and if you don't see it that way and 00:16:31.909 --> 00:16:33.450 you think that this could have been different 00:16:33.450 --> 00:16:35.950 or better Well, then we're just gonna have to 00:16:35.950 --> 00:16:38.460 agree to disagree. Yep You know, you walk into 00:16:38.460 --> 00:16:40.179 a car dealership, you're spending a big chunk 00:16:40.179 --> 00:16:43.240 of money, and you see the car, it's there, it's 00:16:43.240 --> 00:16:44.799 finished, you test, you push all the buttons, 00:16:44.940 --> 00:16:46.500 you know exactly what it does, you drive it, 00:16:46.500 --> 00:16:49.500 it's great, we'll take it, and there's a media 00:16:49.500 --> 00:16:51.639 exchange, it happens over the course of the day. 00:16:51.899 --> 00:16:54.320 This is a very different thing, and homes are 00:16:54.320 --> 00:16:57.700 built on site, and by human hands, and things 00:16:57.700 --> 00:17:00.740 might be, exactly, things might be slightly varied 00:17:00.740 --> 00:17:03.019 from what your vision may have been, and because 00:17:03.019 --> 00:17:04.980 the home, you're looking at a dirt lot when it 00:17:04.980 --> 00:17:07.140 starts sometimes, and so we're giving you this 00:17:07.140 --> 00:17:10.079 impression of maybe your vision was different 00:17:10.079 --> 00:17:12.440 than ours. There's so many things that could 00:17:12.440 --> 00:17:15.440 go awry. And another thing, the car example or 00:17:15.440 --> 00:17:18.240 that consumer good example, homes aren't consumer 00:17:18.240 --> 00:17:21.079 goods. They are really more assets that happen 00:17:21.079 --> 00:17:23.000 to be beautiful homes. True. Good point. Trust 00:17:23.000 --> 00:17:26.960 Home Builders Building. Yeah. But a car, you 00:17:26.960 --> 00:17:30.259 could go get that. Yukon down the street most 00:17:30.259 --> 00:17:32.460 likely, or you could go to Phoenix, or you could 00:17:32.460 --> 00:17:36.500 go. This is the house on this lot, do you want 00:17:36.500 --> 00:17:38.339 it or not? So you're buying the house, you're 00:17:38.339 --> 00:17:40.920 not buying the process. And I would have dust 00:17:40.920 --> 00:17:44.700 ups many times with agents and even my own buyers 00:17:44.700 --> 00:17:48.079 say we are not the Four Seasons. It's not just 00:17:48.079 --> 00:17:50.799 about the experience. It is going to be stressful, 00:17:50.960 --> 00:17:52.500 it's going to be frustrating, there's going to 00:17:52.500 --> 00:17:54.819 be delays, there's going to be things that didn't 00:17:54.819 --> 00:17:57.559 turn out the way you thought they were. But this 00:17:57.559 --> 00:17:59.700 is not about the experience. This is about the 00:17:59.700 --> 00:18:02.380 product that's being turned over and it's one 00:18:02.380 --> 00:18:04.200 reason why we took a pause for a couple years 00:18:04.200 --> 00:18:07.259 on build to sue clients because After two or 00:18:07.259 --> 00:18:09.500 three years you are so fatigued of each other 00:18:09.500 --> 00:18:11.839 Yeah, and there's so many things that can change 00:18:11.839 --> 00:18:13.339 and didn't turn out the way they thought and 00:18:13.339 --> 00:18:15.099 they blame you or whatever There's always somebody 00:18:15.099 --> 00:18:17.799 to blame. That's not them their relationship 00:18:17.799 --> 00:18:20.259 always struggle you know you're been you're mending 00:18:20.259 --> 00:18:22.019 up a marriage many times people are building 00:18:22.019 --> 00:18:25.019 a big grand home to save to marry or they've 00:18:25.019 --> 00:18:26.619 just gotten married and they don't know a lot 00:18:26.619 --> 00:18:29.359 about each other yeah there's just a lot of there's 00:18:29.359 --> 00:18:32.720 a lot of bumpiness typically there is some transition 00:18:32.720 --> 00:18:34.819 be it move up move down whatever it is there 00:18:34.819 --> 00:18:37.400 is a transition or a situation within their own 00:18:37.400 --> 00:18:39.839 current life that's pushing them to want to build 00:18:39.839 --> 00:18:41.779 exactly right yeah so there might be stressors 00:18:41.779 --> 00:18:44.319 there but I always tell the team I am we are 00:18:44.319 --> 00:18:48.410 not their therapist Sometimes you feel like it. 00:18:48.410 --> 00:18:51.250 Sometimes you feel like it, but we can't let 00:18:51.250 --> 00:18:55.349 the client's emotions dictate how the build goes 00:18:55.349 --> 00:18:57.769 or the transaction or let it stress out the team. 00:18:58.849 --> 00:19:01.930 You said you're not buying the process. I might 00:19:01.930 --> 00:19:05.279 argue that you are. Well, you're not buying the 00:19:05.279 --> 00:19:07.400 process. You're signing up for that process. 00:19:07.920 --> 00:19:10.599 Yes. And we are the expert in that field. Our 00:19:10.599 --> 00:19:12.680 train is in motion. We know what happens next. 00:19:12.740 --> 00:19:14.559 We know all of the process and everything that 00:19:14.559 --> 00:19:16.400 will go step by step by step. If you're going 00:19:16.400 --> 00:19:18.099 to get on this train with us, you're going to 00:19:18.099 --> 00:19:19.700 ride it in the direction we're taking you and 00:19:19.700 --> 00:19:23.019 we can't make stops. Right. That's right. And 00:19:23.019 --> 00:19:25.839 we can't answer, are we there yet? Anymore times. 00:19:26.640 --> 00:19:30.240 We're not there. Right. So I agree. And I like 00:19:30.240 --> 00:19:32.619 that thought. Yeah, they are signing up for it 00:19:32.619 --> 00:19:34.799 though. signing up for it right and and it is 00:19:34.799 --> 00:19:38.019 it's an inevitable part of building a home right 00:19:38.019 --> 00:19:40.640 it has to be built and so there has to be some 00:19:40.640 --> 00:19:44.269 there's friction yeah yeah yeah So if you're 00:19:44.269 --> 00:19:50.750 signing up to build a new home or another builder 00:19:50.750 --> 00:19:53.309 expect that if you're buying a resale home with 00:19:53.309 --> 00:19:56.569 an agent expect that and the renovating a home 00:19:56.569 --> 00:19:59.329 even if yes if you're entering into a renovation 00:19:59.329 --> 00:20:02.549 project expect that there will be fatigue and 00:20:02.549 --> 00:20:07.349 frustration and the process itself is Is really 00:20:07.349 --> 00:20:10.170 just that but know if you're working with a professional 00:20:11.740 --> 00:20:14.519 There's got to be the give and take. You've got 00:20:14.519 --> 00:20:20.400 to trust the process. We should name it. We should. 00:20:20.460 --> 00:20:22.720 Wouldn't that be a great idea? And thank you 00:20:22.720 --> 00:20:26.019 for joining us on that Trust the Process podcast. 00:20:26.420 --> 00:20:29.819 We'll see you next time. And until then, bye 00:20:29.819 --> 00:20:33.900 bye. Thanks for tuning into the Trust the Process 00:20:33.900 --> 00:20:36.960 podcast. Make sure to follow us on Spotify to 00:20:36.960 --> 00:20:39.400 stay in the loop with the latest insights, project 00:20:39.400 --> 00:20:41.940 updates, and everything in between. See you next 00:20:41.940 --> 00:20:42.259 time.