How to Set Expectations So You Don’t Have Discouraged Buyers

My buyers are discouraged because they keep getting outbid. They want to throw in the towel because they are so discouraged. What do I tell them?

If you have discouraged buyers then you are not setting expectations and you are failing Realtor 101. As a Realtor, it’s your job is to do the best you can for your client and that means you have to be smart and you have to communicate!

There is really no excuse, you have the data. Use it to your advantage. If you see that homes are selling 10 percent above their listing price, let you clients know!

As of writing this post, it’s a seller’s market and it’s spring time—the market is hot. It may take several offers (I’m talking like five to ten) before a seller accepts. (However, you better celebrate if the first or second offer is accepted. But that is the least likely scenario.)

Show your client homes that are listed below their budget. That way you’ll have some wiggle room when it comes to negotiating.

Making a ton of offers is frustrating. But if you set them up for success, at least they are prepared. You have to remember that you can’t control the data and you aren’t responsible for it.

You are responsible for communicating with your clients. And in this case, communication means setting expectations so there are no surprises. Prepare your clients to make a lot of offers and acknowledge that it’s discouraging.

Here’s exactly what I would say to my buyer.


Hey Mr. and Ms. Buyer, I have to be honest with you, it’s a seller’s market and the data is showing that most homes are selling for 10% more than the listing price. Sellers are likely to pass on our offers. So, I might show you some homes that are below what you qualify for. I’m doing this because if we find something that you love that is below your max, then we have room to negotiate. Due to the particular circumstances, the buying process might discourage you. It’s totally understandable. Just know that there is a light at the end of the tunnel. I’m going to really dig deep and explore all of our options so that we can get you into an awesome home.

When you don’t set expectations, your buyer is going to be discouraged. It’s your obligation to communicate and educate.