9.1: Part I- Communication

During a busy real estate transaction, Maria, a diligent agent, is coordinating the sale of a property for her client, Alex Johnson. As the closing date approaches, Maria sends an email to Alex reminding him of the upcoming deadline for completing repairs requested by the buyers, the Smiths.

Unfortunately, Alex is overwhelmed with other responsibilities. He misses the email and fails to complete the repairs within the specified timeframe. Meanwhile, the Smiths are growing anxious about the lack of communication regarding the repairs and conclude that Alex is delaying the process intentionally and is unwilling to make them. The Smiths now consider backing out of the deal, causing tension and frustration on both sides. When Maria finally reaches Alex by phone, she learns about the missed email and quickly arranges for the repairs to be completed. However, the delay has already strained the relationships, and the lack of communication results in loss of the sale.

How could this situation have been avoided? Who could have communicated in a way that would have avoided or solved the problem?

Communication is the process of exchanging information, ideas, thoughts, feelings, or messages between individuals or groups through various channels or mediums. It involves both the transmission and reception of messages, allowing for the sharing of meaning and understanding between sender(s) and receiver(s). Communication can occur verbally, through spoken or written language, as well as non-verbally, through gestures, facial expressions, body language, and other visual or auditory cues. Effective communication is essential for conveying thoughts and emotions accurately, resolving conflicts, building relationships, and achieving common goals.

Communication Channels

In real estate, understanding both what to communicate and how to communicate it is essential for fostering relationships and conducting successful transactions. The choice of communication channel—phone, text, letter, etc.--depends on various factors, including the urgency of the message, the complexity of the information, and the preferences of the parties involved. For important or sensitive matters requiring detailed explanations, face-to-face meetings or phone calls are often preferred to ensure clarity and address any questions or concerns in real-time. On the other hand, for quick updates or non-urgent information, emails or text messages may suffice, providing a convenient and documented means of communication, but remember that these may be subject to privacy concerns. Using digital platforms such as real estate websites or social media can be effective for reaching a wider audience or sharing general updates. By considering the content of the message and the most effective communication channel, real estate professionals can engage in clear and effective communication.

Written Real Estate Communications

Written communications are not as straightforward as they once were. While formal business letters and newspaper ads or articles were at one time the only choices available, technology has expanded the options to include email, texting, blogging, tweeting (or “x-ing”), using websites and posting on social media. Being proficient in various modes of communication will lead to optimal success in your real estate work. When should we use each of them? Let’s see.

Business Letters and Documents

In real estate, communications via formal business letters, documents, or forms are typically reserved for formal or legal matters that require a written record or carry significant importance. Some situations when communications should be done via a business letter, formal document, or standard form include the following:

• Formal Offers or Counteroffers: In California, when making or responding to formal offers or counteroffers on a property, it is common to use a standardized format. This ensures that the terms of the offer are clearly stated and documented for legal purposes.
• Notice of Intent to Terminate: If a party wishes to terminate a contract or agreement, they may send a formal notice of intent to terminate via standard form. This provides a written record of the decision and the reasons behind it.
• Notices of Default: In cases where a party fails to fulfill their obligations under a contract, a notice of default may be issued via business letter or the lender’s standard form. This formally notifies the defaulting party of the breach and any consequences that may follow.
• Formal Requests or Demands: Any formal requests or demands, such as requests for repairs, adjustments, or changes to the terms of a contract, are often communicated via business letter. This ensures clarity and provides a written record of the request.
• Legal Notices or Disclosures: Certain legal notices or disclosures, such as disclosures of material facts or legal warnings, may need to be communicated via standard forms or business letter to ensure compliance with legal requirements.

In these situations, using formal business communication helps ensure professionalism, clarity, and a formal record of communication, which can be important in real estate transactions, particularly if disputes arise later.

Don’t overlook the value of old-fashioned handwritten personal notes that can build positive relationships.

https://www.handwrytten.com/resources/how-to-write-real-estate-letters-to-potential-sellers/

https://www.nar.realtor/magazine/broker-news/network/return-to-handwritten-notes-in-real-estate

Digital Communications

In today's digital age, effective real estate communications go far beyond yard signs and open houses. Social media platforms and content creation have become powerful tools for agents and agencies to connect with potential clients and showcase properties. Some of today’s digital tools are listed below.

1. Texting has become increasingly acceptable for sharing all types of information with clients and co-workers. The advantage of texting is speed; however, a serious drawback is that the writer’s tone can be lost, easily resulting in miscommunication. Reading a text again before sending will help avoid misinterpretation. In real estate communications with clients be sure to respond quickly, even if it is to say that you will check on something and respond later. Be sure to answer all the questions a client has texted you. Texts with clients will usually be about appointments, quick notes, or updates on the status of an escrow. Save long topics and more serious conversation for other modes of communication.

2. Email is useful for longer messages and for its ability to include attachments. Property analysis, with attachments of tax records, net sheets, and market data, are frequently sent via email. Contracts, escrow instructions, property inspections and appraisals are other documents commonly sent via email, which provides a convenient and efficient way to share important information. Additionally, email allows for easy tracking and archiving of communication, ensuring that all parties have access to necessary documents and records.

Here's a look at some other digital tools, along with notes on privacy, audience, tone, language, and word choice:

Blogging: A well-maintained blog allows you to establish yourself as a local and up-to-date real estate market expert. Share informative content about the buying and selling process, highlight local area trends, and showcase your listings with visuals. Regular blog posts demonstrate your expertise and attract potential clients searching for information online. Check out WordPress, Wix, or Blogger for ideas.

• Tone, Language, and Word Choice: Maintain a professional and informative tone throughout your blog. Use clear, concise language that is easy for a general audience to understand. Avoid exaggerations, technical jargon, or overly promotional language.
• Privacy Considerations: When blogging, avoid mentioning specific client details or property addresses. Focus on general market trends and broader advice for buyers and sellers. Changes in local sales data, how to stage a home to sell, how to negotiate, advice on home repairs, are all topics to keep your potential clients coming back.

X-ing (Twitter): X, formerly Twitter, is a fast-paced social media platform in which real estate users can share short bursts of information and engage with potential clients in real-time. Announce upcoming open houses and participate in relevant real estate conversations using location tags and relevant hashtags. Photos and videos are communication, too, so show new listings, but don't reveal the full exterior of occupied properties.

• Tone and Language: Tailor your X (Twitter) content to your potential clients using an engaging and informative tone. Avoid slang or overly casual language that might detract from your professionalism. Craft compelling headlines and captions to grab attention within the allowed character count.
• Privacy: Be mindful of privacy. Do not show property address, recognizable property features, or identifiable faces.

Websites: A real estate professional’s website serves as digital headquarters. Along with information about you and your firm, include detailed property descriptions, virtual tours (without disclosing security features), and contact information to make it easy for potential clients to learn more. Ensure that it is user-friendly with a clear layout and high-quality photos of your listings…and obvious links for contacting you.

• Tone and Language: As with your other writing, use clear and concise language throughout your website. Maintain a professional and welcoming tone that reflects your brand identity. Use strong verbs and action words to encourage visitors to contact you.
• Privacy: When showcasing properties online, be sure you have permission from the seller(s) to display all photos and details. Avoid virtual tours that reveal security features or access points.

Social Media Advertising: Social media advertising provides a powerful tool for real estate professionals to reach a target audience with precision. Platforms such as Facebook, Instagram, and LinkedIn afford possibilities for targeted ads based on demographics, interests, and location. Promote listings, announce open houses, or even host Q&A sessions to connect with potential clients who are searching for real estate in your area. Whether targeting first-time homebuyers in a specific neighborhood or reaching out to investors interested in commercial properties, social media advertising provides a versatile and efficient way to expand your reach and engage with your audience.

• Privacy and Targeting: Leverage the targeting options in social media advertising platforms responsibly. Avoid discriminatory targeting practices and be certain that your ads and other posts comply with privacy regulations and the Realtor® Code of Ethics.
• Tone, Language, and Word Choice: Craft compelling advertising or marketing copy that uses strong visuals and clear calls to action. Maintain a professional tone while highlighting the unique selling points of your listings or services.

By using these digital communication tools strategically and responsibly, real estate professionals can expand their reach, build trust with potential clients, and ultimately, achieve greater success in today's dynamic market. Create a balance between effective communication, respecting client privacy, and projecting a professional and trustworthy image in the digital age.

Practice Zone

Plan a blog by following the steps below. 1. Identify Your Target Audience: Determine who your target audience will be for your real estate blog. Are you aiming at first-time homebuyers, real estate investors, sellers, or a combination? 2. Choose a Niche: Decide on a specific niche (see Module 1) to focus on. This could be anything from luxury real estate to investment properties to sustainable housing. 3. Research Blogging Platforms: Research different blogging platforms such as WordPress, Wix, or Blogger. Compare their features, ease of use, and costs to decide which platform suits your needs best. 4. Develop a Content Strategy: Plan out the topics you will cover on your blog. Consider writing about market trends, neighborhood spotlights, buying/selling tips, financing options, etc.

Voice: Phone and In-Person Communications

Phone calls offer a unique advantage in communication by giving the listener the added information carried in the speaker’s tone and emphasis. Although incoming calls are often sent to voicemail, phone calls still remain vital for conveying certain messages effectively. When delivering difficult news, such as a change in contract terms or unexpected developments in a negotiation, a phone call allows for a more empathetic delivery. The voice’s tone and inflection can convey sincerity and concern, helping avoid miscommunications and increasing the likelihood that the listener feels supported and understood, even in challenging situations.

When urgency is paramount, such as when needing an immediate response or confirmation of an action, a phone call is the quickest and most direct method. Furthermore, phone calls provide immediate confirmation of understanding, allowing for real-time clarification. When both parties are “on the same page,” misunderstandings or delays are less likely.

In today's fast-paced world, where digital communication lacks the personal touch of face-to-face interaction, phone calls bridge the gap with a more personal and immediate connection. Whether delivering important news, seeking clarification, or confirming details, using phone calls in communication helps ensure clarity, empathy, and efficiency, ultimately strengthening relationships and avoiding miscommunications.

Some pros and cons of phone call communications
Pros:	Cons
1. Personal Connection: Compared to written forms of communication like emails or texts, phone conversations allow for a more personal connection. Hearing someone's voice can help build rapport and trust, which is crucial in real estate transactions. 2. Immediate Feedback: Phone calls provide the immediate feedback needed for real-time clarification and resolution of issues, which is especially important when dealing with urgent matters or negotiating time-sensitive contracts. 3. Emotional Nuance: Voice inflection and tone convey the emotional context that is often missing in written communication. This is particularly valuable when delivering sensitive or complex information because it can communicate empathy and understanding. 4. Quicker Decision Making: Phone calls facilitate quick decision making by allowing for immediate dialogue and discussion. This is beneficial when timely action is needed, such as during a negotiation. 5. Confirmation of Understanding: Phone calls offer the opportunity allow both parties to confirm their understanding of the information exchanged. This helps reduce the risk of misunderstandings and ensures that everyone is on the same page.	1. Difficulty in Scheduling: Coordinating phone calls can be challenging, especially when dealing with busy schedules. It may take multiple attempts to reach someone, leading to delays. 2. Lack of Documentation: Unlike written communication, phone calls do not provide a written record of the conversation. This can be a disadvantage if a dispute arises or if details need to be referenced later. 3. Interrupted Communication: Phone calls can be easily interrupted by background noise, poor reception, or other distractions. This can disrupt the flow of conversation and lead to misunderstandings. 4. Limited Multitasking: Unlike emails or texts, which can be read and responded to at any time, phone calls require full attention. This limits multitasking and may not always be convenient. 5. Potential for Miscommunication: Despite the advantages of voice inflection, phone conversations still run a risk of miscommunication, especially if there are any language barriers.

Understanding these pros and cons can help you make informed decisions about when to use phone calls as a mode of communication in your transactions.

Communicating in Person

Face-to-face (in-person) communication is widely considered the best way to convey ideas, questions, and information. Being physically present enables communicators to use and interpret body language, facial expressions, and vocal intonations that convey sincerity, empathy, and trust—or lack thereof. Face-to-face interactions allow for immediate feedback, enabling both parties to address concerns and make clarifications in real-time. Contract negotiations, resolving disputes, delivering bad news, or making a listing presentation are preferably done in person. The in-person connection helps strengthen relationships, mitigate conflicts, and ensure that all parties feel heard and respected.

Face-to-face communication is particularly valuable for sensitive communications that require a high level of emotional intelligence (see Part 3 of this Module) or empathy. For example, discussing delicate matters such as why someone wants or needs to sell a property can be highly personal. Buyers’ conversations with lenders about wages, credit history, or bankruptcy, may best be held in person and in private.

In today's digital age, FaceTime, Skype, Zoom, and other video tools enable face-to-face communication when physical presence is not possible; professionals in all areas of real estate must be comfortable using them. Those who can effectively use these tools expand their reach, enhance client relationships, and maintain productivity in a fast-paced industry.

Effective communicators use active and reflective listening techniques during face-to-face interactions, fully engaging with the speaker, summarizing their points, and asking clarifying questions. We’ll discuss this further in the next section.

Listening Skills

Active Listening

Active listening is a communication skill characterized by focusing on understanding others. It involves concentrating on what the speaker is saying, without interruption or distraction, and demonstrating understanding through verbal and nonverbal cues. Active listeners use techniques such as maintaining eye contact, nodding, and providing verbal affirmations to show their interest in the speaker's message. By actively listening, individuals gain insights into others' perspectives, build trust and rapport, and strengthen relationships. Active listening is a fundamental communication skill that develops understanding, improves problem-solving, and creates more meaningful connections with others.

In the context of real estate, active listening contributes to understanding clients' needs, concerns, and preferences. Whether an agent, lender, stager, inspector, or other, the real estate professional can gain valuable insights into the reasons, priorities, and goals in a transaction. Active listening is also critical to successful negotiations and interactions with colleagues or other stakeholders. By actively listening to the other party's perspective, the active listener can identify common ground, anticipate potential objections, and find mutually beneficial solutions.

In problem-solving and conflict resolution professionals who practice active listening can better understand the sources of the issue, validate the concerns of all parties involved, and work toward finding constructive solutions.

What defines the characteristics of active listening? The following list contains behaviors to use in the practice of active listening:

• Look at the speaker. Smile and nod to show you understand. Use positive facial expressions that show you are engaged.

• Be attentive; pay attention and focus on the message. Participate and be present in the moment.

• Let the speaker know you understand by making brief comments or exclamations without interrupting them.
• Possibly, jot down notes about the topic to capture the speaker’s thoughts or to use in follow-up questions.

Additional active listening behaviors, which some academics classify separately as reflective listening, include deliberate summarizing of or restating the speaker’s message. This acknowledges the speaker’s point of view and lets the speaker know she is being heard.

Paraphrase the content, ask for clarification or elaboration, confirm understanding, inquire about an interpretation—all of these demonstrate active listening and show the speaker that her thoughts matter.

Overall, active listening is a cornerstone of effective communication in professional communications, including those in real estate. Mastering and using active listening techniques leads to trust and relationship building, and ultimately successful communication outcomes.

Practice Zone

Are you a good listener? Let’s find out. 1. Access and complete this listening self-assessment. The scoring instructions are at the bottom of the page. Go to the Harvard ManageMentor Active Listening Self-Assessment at Active Listening Self-Assessment - Harvard ManageMentor — COACHING TOOLS Active Listening - Studocu 2. Now that you have identified your listening behaviors, including skills that you would like to improve, review the steps for becoming a better listener provided at the link below. Write three steps that you can implement to improve your own active listening skills. Active Listening: Become a Better Listener : Active Listening: The Complete Guide

Non-Verbal Communication

The most important thing in communication is hearing what isn’t said. - Peter Drucker

Case:
Mr. Chen, a home buyer, finds a house he likes very much, but it is more expensive than he can afford. He tours the house with Mr. Frys, the owner, who talks enthusiastically about the neighborhood, the schools, and the house itself, praising everything highly to justify the high price. Mr. Chen listens attentively but feels downhearted, knowing the price is out of his reach.

As Mr. Frys speaks, Mr. Chen observes his body language carefully. He notices subtle signs of nervousness—Mr. Frys shifts his weight from foot to foot, his hands tremble, and he avoids direct eye contact. Despite Mr. Frys' enthusiastic words, his body language betrays his feelings of anxiety.

Later, Mr. Chen offers only 80% of what Mr. Frys was asking, a bold move considering Mr. Frys' earlier praise. Surprisingly, Mr. Frys accepts the offer. Mr. Chen's reading of Mr. Frys’ non-verbal cues was right. In the end, Mr. Chen negotiated a price he could afford, thanks to his keen observation of Mr. Frys' nonverbal cues.

Body language, facial expressions, gestures, and eye contact can convey emotions, attitudes, and thoughts, intentionally or unintentionally, without need for words. Observing and understanding non-verbal communication, on the one hand, and being aware and deliberate in one’s own non-verbal communication on the other, will enhance communication effectiveness. Paying attention to non-verbal cues can give insights into other people’s feelings and intentions, even their truthfulness or sincerity. Being mindful of one's own non-verbal language can help align it with the words being spoken. Let’s learn something about non-verbal communication.

1. Body Language: Body language refers to the movements and postures of the body that convey messages. Open posture, nodding, and leaning forward, are positive indicators of attentiveness and receptiveness—exactly what you want to convey during a listing presentation, for example. Open House: During an open house, greet visitors with a warm smile and maintain eye contact. Positive body language, such as standing tall and facing the visitors, helps to create a welcoming atmosphere and encourages the visitors to feel comfortable asking questions.

Conversely, crossed arms, fidgeting, or avoiding eye contact may signal discomfort, as we saw with Mr. Chen and Mr. Frys.

2. Facial Expressions: Facial expressions convey a wealth of emotions and attitudes. A genuine smile can communicate sincerity and approachability, while a furrowed brow may indicate concern or skepticism. Does that potential seller’s single raised eyebrow mean she isn’t sure that what you say is true?

3. Gestures: Gestures, such as hand movements, pointing, or waving, can enhance communication and emphasize key points. For example, gesturing toward a feature of a property can draw attention to its benefits. Overly exaggerated gestures or inappropriate gestures, however, may be perceived as insincere or unprofessional.

4. Eye Contact: Eye contact is a powerful form of non-verbal communication that conveys engagement and honesty. Maintaining eye contact during conversations demonstrates confidence and interest in the other person's message. Strive to make appropriate eye contact with clients to establish trust and connection.

Research on non-verbal communication

Since the 1960s, interest in body language interpretation has been evidenced by extensive and systematic research. Albert Mehrabian's studies in the 1960s, for example, explored nonverbal communication and its impact on interpersonal relationships, highlighting the importance of body language in conveying emotions and attitudes. Paul Ekman's work on facial expressions and emotions provided valuable insights into how facial cues reveal underlying feelings. He found that certain facial expressions are universal across cultures and can accurately convey specific emotions. Ekman identified six primary emotions: happiness, sadness, surprise, fear, disgust, and anger. These emotions, he argued, are expressed through distinct facial muscle movements called "microexpressions," which are difficult to control and often occur involuntarily. His research showed that these facial expressions are consistent across different cultures, suggesting that they are innate rather than learned behaviors, a finding that revolutionized the understanding of nonverbal communication and had significant implications for fields such as psychology, anthropology, and criminology.

For more information on body language research and interpretation, explore websites like Psychology Today's Body Language section, which offers articles and expert insights on nonverbal communication. The Center for Nonverbal Studies provides in-depth resources on various aspects of nonverbal communication, including body language, gestures, and facial expressions. Additionally, books like "What Every Body is Saying" by Joe Navarro and "The Definitive Book of Body Language" by Allan and Barbara Pease offer comprehensive guides to understanding and interpreting body language cues.

1. The Nonverbal Group: https://www.nonverbalgroup.com/

2. The Center for Nonverbal Studies: http://center-for-nonverbal-studies.org/

3. Psychology Today - Nonverbal Communication: https://www.psychologytoday.com/us/b...-communication

These websites offer valuable resources and insights into non-verbal communication, helping real estate professionals improve their communication skills and enhance their effectiveness in client interactions and negotiations.

Communication Styles

Communication styles play a fundamental role in how individuals convey and receive messages, shaping interactions and relationships in personal and professional settings. Understanding different communication styles is crucial for professionals; it enables them to adapt their approach to connect with clients, colleagues, and other stakeholders effectively. In this section, we will explore some communication styles commonly encountered in real estate interactions and discuss how recognizing and accommodating these styles can enhance communication, build rapport, and lead to successful outcomes in transactions. By gaining insights into communication styles, professionals in real estate career paths can navigate interactions more skillfully, foster stronger relationships, and achieve their business objectives with greater ease.

Which Agent Would You Prefer?

You are planning to list your home with a real estate agent, and you want to find someone whose communication style matches your preferences. Let's look at three different agents, each with a unique communication style based on a model known as DISK.

Agent 1: Derek (Dominant)
Derek is a confident and results-driven agent. He's direct, outlining his aggressive marketing strategies and emphasizing his track record of successful sales. While you appreciate Derek's expertise, you worry that his assertiveness may become too pushy for your comfort. His style is “dominant.”

Agent 2: Isabel (Influential)
Isabel is outgoing and charismatic. She engages you in lively conversation, sharing stories of past successes and using enthusiastic language to paint a picture of exciting possibilities for your home. However, you wonder if Isabel's focus on rapport and being engaging might overshadow her ability to deliver concrete results. Isabel’s style is called “influential.”

Agent 3: Sam (Steady)
Sam is calm and dependable. He listens attentively, providing thoughtful responses and emphasizing the importance of trust and communication. While you appreciate Sam's professionalism, you worry his laid-back approach might not be assertive enough to sell your home quickly.

Ultimately, you must decide which communication style best aligns with your preferences and comfort level. Who would you select?

This example of selecting an agent demonstrates the value of understanding communication styles. Psychologists have been studying and describing them for decades, and many models are available to help us learn to interact effectively with diverse sorts of people. For our purposes in this module, we’ll focus on just one of the models for you to learn about and use to evaluate your own preferred communication style.

DISC

One authoritative paradigm for defining communication styles is the DISC model. Because the model has been used extensively, it has generated many variations. One DISC model categorizes communication styles into four main types:

1. Dominance (D): Individuals with a dominant communication style tend to be assertive, direct, and results oriented. They focus on achieving goals and may come across as confident and decisive.

2. Influence (I): Those with an influential communication style are sociable, enthusiastic, and persuasive. They thrive on building relationships, inspiring others, and often enjoy being the center of attention.

3. Steadiness (S): Individuals with a steady communication style are supportive, patient, and dependable. They value harmony, stability, and prefer to work in a team-oriented environment.

4. Conscientiousness (C): Those with a conscientious communication style are analytical, detail-oriented, and systematic. They prioritize accuracy, quality, and may appear more reserved or cautious in their interactions.

The DISC model provides a framework for understanding how different communication styles affect interactions in various contexts, including real estate. By recognizing which style a person predominantly uses, you can tailor your communication approach for optimal outcomes. For example, if your boss is a high-D (Dominance) personality, she is likely to prefer direct, concise communication and value results-oriented discussions. In this case, you would focus on presenting clear, bottom-line information and be prepared to answer questions decisively. On the other hand, a colleague or client who is a high-S (Steadiness) personality may appreciate a more empathetic and patient approach. In this case, you will want to take time to build rapport, listen attentively, and provide detailed explanations to address their concerns.

Overall, understanding and adapting to someone's communication style allows for more effective communication, builds rapport, and fosters positive relationships. It helps minimize misunderstandings, increases cooperation and collaboration, and ultimately leads to better outcomes in professional interactions.

Practice Zone

What’s Your Style? 1. Go to one or both of the websites linked below and complete the DISC assessment. When you finish the assessment, the site will report on your preferred style and to what degree your behaviors reflect the other styles. Both assessments are free. https://www.123test.com/disc-personality-test/ https://www.truity.com/test/disc-personality-test 2. Review the report or reports. Do you agree with the descriptions provided? What are some of the implications for the way you interact with others? If you completed both assessments, which do you think best reflects your style?