Using “Realtorspeak” to talk to your clients can result in confusion and frustration.

“…I thought Fannie Mae was a candy factory in Chicago.” ~ Kathleen Madigan, Comedian

Fannie Mae, Freddie Mac, MLS, ARM, APR, COE, PITI

The real estate industry really does have its own language, doesn’t it? Agents frequently speak it among themselves, but how often do you catch yourself speaking it in front of your buyers or sellers? Do you by chance notice the big question mark that has replaced their facial expressions? All too often agents make the mistake of “talking the talk” without realizing their clients may have no idea what they are referring to. Nobody likes to feel stupid, so often they’ll just smile and nod along with you, even though inside they’re wondering what in the world you’re talking about.

Talking “Realtorspeak” to your clients can not only drive a wedge in the relationship you’re building, but can lead to misunderstandings that can have a broader negative impact on the transaction. 

Break your conversation down to common language.

As in any profession, it is best to consider the “common denominator” when discussing your business with consumers (In this case, buyers and sellers). At the same time, you’ll want to do it in a way that does not insult their intelligence. In place of acronyms, use the actual term. For example, Annual Percentage Rate instead of APR. Multiple Listing Service in place of MLS, etc. Speak plainly and clearly, and regularly follow up along the way by asking if they have any questions.

Do Fannie Mae and Freddie Mac run the FHA?

You’d be surprised how many people out there believe that Fannie Mae and Freddie Mac are actual persons. You may be more surprised to find out just how many Realtors don’t know what Fannie Mae and Freddie Mac stand for. So in case someone asks:

FANNIE MAE=Federal National Mortgage Association

FREDDIE MAC=Federal Home Loan Mortgage Corporation

Keep your blog articles “Realtorspeak” free as well.

The same goes for your blog articles. Make sure your readers understand you. Write in your own words, and keep in mind they most likely won’t be willing to take the time to look up definitions of your Realtor language as they read along.