How to handle complaints in your real estate business (podcast)

Inevitably, no matter how good you are at real estate, you will have situations where clients are frustrated with an outcome, process, situation or aspect of a property. When clients bring those situations to your attention, they are giving you a golden opportunity to protect your reputation and business moving forward.
In our latest podcast, I talk through how to handle complaint situations in a way that gives you the best chance of turning frustrated clients into advocates for your business.
Click here to listen (22 mins)
To subscribe to the show, search 'Agent Monday' on Spotify, Apple podcasts, or any popular podcast app.
Tips for handling complaints
- Stay calm. Don't take it personally.
- People in stressful situations will often look to transfer stress to those around them. That includes you!
- Don't hide from communication. Prioritise handling complaint situations.
- Meet with the client in person as soon as possible.
- Notify your manager and, if appropriate, your insurance provider.
- Hear the client out. Listen and ask questions: "Please talk to me about your experience. I am here to listen. How did that make you feel? What would you have liked to happen differently?"
- Take detailed notes!
- Don't interrupt, even if you don't agree. Avoid any arguments at all costs.
- Thank the client for sharing their perspective and acknowledge their truth: "I can see this situation has been frustrating for you. Thank you for sharing your perspective. I appreciate your feedback."
- Avoid admitting fault until talking the situation through with your manager.
- Ask solution-oriented questions: "Where would you like to go from here? What do you see as the solution?"
- Conclude the meeting by showing you take the situation seriously: "I will speak to my manager and come back to you by Wednesday..."
- Many clients just want to be heard, and by actively listening and prioritising the situation, many complaints won't go further than a face-to-face meeting. Sometimes, clients just want you to update your business processes or adjust your communication in future. Agree to do so if it makes logical sense.
- If there is a financial loss involved - can you solve the problem even if it isn't your fault? Investing money in solving issues for clients is a smart use of marketing funds and can have a massive payoff by creating advocates for your business.
- Confirm what was discussed in writing. Confirm any agreed solution in writing.
- If the problem needs to be escalated, involve your manager and insurance company early and often.
- Keep all written communication short and simple. Stick to the facts.
- Whatever you do, avoid adding any tension to the situation! Never respond via email when you are upset.
- Run all written communications via your manager before sending anything to your client.
- Review your internal business processes to avoid similar complaints in future where possible.
- Remember, feedback is a gift. Taking it on board can help you build a stronger, more successful business.
According to the REA, the top five complaint themes for the current financial year are:
- Licensee conduct: misrepresentations and failure to exercise skill and care
- Non-disclosure of defects
- Customer service: lack of professionalism, communication
- Not acting in the best interests of the vendor
- Misleading advertising and marketing concerns
If you receive a complaint, it's critical that you take the time to examine your approach to real estate and take accountability where necessary. Sit down with your manager or real estate buddy, talk through what could have been done differently, and confirm any changes you need to make moving forward.
Got a question on this topic? Get in touch and let us know. We would love to hear from you.
If you liked this guide, check out: How to create a positive client experience at a disappointing sale price.
And this one, on keeping your vendors happy:
Have an epic week!
Andrew Duncan
PS. Click here to book a one-on-one coaching session.