Guillermo Sanjurjo is a Realtor with Century 21 Continental Realty working in Miami.

Every week, we ask a Miami real estate professional for their thoughts on the top three stories from the week before. This week, we spoke with Guillermo Sanjurjo, a Realtor with Century 21 Continental Realty.

Miami Agent (MA): A third quarter market overview released by Douglas Elliman found that while sales were continuing to climb, the pace had slowed, largely due to an influx of for sale properties to the market. The report’s author suggests this signifies the beginning of a return to a balance in Miami. Do you agree, why or why not?

Guillermo Sanjurjo (GS): For some time now the REOs have been entering the markets at increasingly higher prices, testing the buyer’s limits. The asking prices have gone up enough to entice private market sellers that have been on the sidelines up to now to enter the market. A possible sign of balance is that this report shows a decline of 3.3 percent of the median price for the third quarter. The higher prices may have scared off some investors and now with more inventories the buyer pool is different. I believe that balance will happen when the market runs freely. On the long run the prices are always set by supply and demand, and demand is governed by affordability – take notice how the luxury market keeps on growing. Be aware, the rumblings of relaxing credit restrictions are sounding more and more.

MA:  A drop in local cash sales, though slight, marks a dwindling of cash investors in Miami. Have you noticed this trend, and do you think it’s permanent?

GS: Real estate prices have been on an upswing for some time; with most of the available inventory consisting of distressed properties, buyers took advantage of the opportunities. Banks took notice and controlled the influx of properties and priced them increasingly higher, testing the buyer’s willingness to pay more. With dwindling profits some of the investors have taken to the sideline. In recent weeks I have noticed REOs entering the market at a more reasonable price, as well as longer DOMs for some of the listings, resulting in price cuts. Once the price corrections take place the investors will return because Miami-Dade is a desirable market for any investor.

MA: A recent feature discussed the difficulties Realtors must overcome when working with a particularly challenging client. In what ways have you learned to manage challenging personalities?

GS: Most everyone suffers from some kind of paradigm that, like tinted glasses, affects how we view others and consequently set our actions with them, and real estate people are no different.

We sometimes think we know it all or that buyers always lie or that one most control the sale by using some magical words that will make the client do exactly what you want to do.

Take off the glasses; assume responsibility for the communication between you and the client. If he does not follow your thinking or understand the point you are trying to make, stop before your paradigm convinces you how dumb this guy is.
Take responsibility for not explaining the issue in a way that your customer could understand and try again with humility and especially without arrogance. We must keep in mind that all of our customers are consumers. They have bought one thing or another before, meaning there was a successful salesperson that sold them a car, a home, furniture, vacations, well you get my meaning. Are you up to the challenge to communicate with this person or is it easier to say that this client is impossible to work with. Take off the colored lenses and communicate to find out your client’s needs, wants and dreams. Once you understand those points, you have built a relationship. One thing is clear in my mind: every human wants to be understood.