Using Poker to Explain the Buying Process
Here’s how real estate is like a game of poker: You make your own luck.
Much like a game of poker, you can create your own luck in real estate. In Texas Hold’em, you draw two cards; first, you have to choose an ace real estate team to help you through the transaction. Though the jack is still a face card, the ace is far superior to the jack-of-all-trades single agent. An ace team will include an exceptional negotiator agent, document specialist, pricing analyst, transaction coordinator, and legal team. A jack doesn’t have as powerful of a play, and you’re better off with a team than a lone wolf.
The second card you draw is your lender. The lender needs to compete for your business, give you the best possible rates, not charge too many fees, and make themselves available to you. They also need to be a good communicator, help strategize on your offer, be creative, and willing to call the listing agent to talk you up.
Then you get to see the flop—three cards placed in front of you. Think of this as your interview process. Before you engage in one of the largest financial transactions of your life, you need to check out a few vendors. You may decide one of the three cards you found is just okay and could be better. It’s not personal; you’re just trying to make the best hand possible.
The third card in your hand can be thought of as your inspector. They need to be thorough, a great teacher, and prevent you from buying a money pit. The fourth card in your hand is the appraiser; they’ll ensure you don’t overpay. Finally, your fifth card is the title and escrow team: This is the party that holds the earnest money and collects documents. Title determines whether the home is legally allowed to be transferred.
"You may decide one of the three cards you found is just okay and could be better."
After the flop, you get to see another card, which is known as the turn. Think of this as your chance to change lenders within 48 hours of going under contract on the home; after that window, you have to get permission from the other party.
The final card turned over is called the river and is the last community card. At this point, the best hand doesn’t necessarily win—the best player wins. With variants, you can win by being the most prepared. Having our team on your side will help you make the best decision; we’ll help you calculate risk with a big payout.
Real estate is always a game of incomplete information; as we approach closing day, we’re reading the other players and watching for their tells. We’ll consider the situational dynamics; you now hold the strongest hand you possibly can, and we’ll play to your strengths. The odds are in your favor. Then... you beat the competitor’s house with a royal flush, winning the keys to your future home!
While there may be a bit of chance involved in the game of real estate, with our team backing you, we make our own luck. Come take a seat at our table.
Reach out anytime via phone or email if you have questions or want to work with us. We would love to help you.