The Number 1 Rule in Real Estate

I have a sale that is going South. It might be salvageable, but my clients aren't interested. They have their reasons, and I understand and support them. It isn't my house. It isn't my money. They have every right to make the logical and well-thought out decision they are making. And frankly making it now, before closing, is probably a smaller headache than making it after they move in.

I love these clients. They are some of my favorites of all time. They have bought a couple of homes from me. I want the absolute best for them, even if it isn't the best for me. However, it is a week before Christmas. It is two weeks before 2020. In my head, I spent the commission money on practical things, such as paying my (required) dues so that I have access to the MLS, paying my E&O (malpractice insurance)--both due December 31. I also hypothetically spent it on a new-to-them used car for the kids. And the rest of the hypothetical commission, I put in the bank.

We are financially fine. We will survive. If this is the worst that happens to me this year, my life is blessed--which it is.

Buckaroo, who thinks he wants to get into real estate when he turns 18, has been shadowing me lately. Today he learned the number 1 rule in real estate today: never count on a sale until it closes.

He also learned the number 2 rule in real estate: obey your clients. Actually, that is probably the number 1 rule, but it isn't as tangible. My wonderful clients hired me to work for them. I am to do what they say (within the confines of the law). This is what they want. I re-read the contract to them. I verified what their recourse is. I explained what "breach of contract" means. My conscience is clear.

Incidentally, my awesome clients actually apologized for backing out, telling me they regret I wasn't getting compensated (because it didn't close). It was sweet of them to think of me. But I would never want anyone to spend any amount of money just to make the realtor happy. We agents know the risks. The way to manage the risk is to follow rule number 1.