Most Real Estate agent are worthless
by Seth Joiner
This isn’t a news flash by any means but just in case you didn’t know the
housing market is taking a dip in the toilet and threatening to fall right in.
Along side of that we have mortgage companies doing some major reconfiguring of
their lending guild lines and even going out of business. On the other hand we
have the dollar taking a big hit as we are almost 2 to 1 with the Euro (not even
a year ago we were almost 1 to 1) and the fed doing what they can to help the
country from entering into a full blow recession. What can the average real
estate agent do in the face of such challenges? How can they survive when they
are now fighting over a small number of buyers who are nervous about buying
because there is a real possibility that they could end up losing money?
History shows that those that triumph in the face of change are those that are
willing to change and adapt. Perhaps the old ways of doing business need to be
shelved and new radical ideas need to be implemented. One of the first things
that you need to do is study and learn about the market and what it is doing.
Those of you that scoff and are saying to yourselves that you have been in the
business for such a long time and this little down turn is the same as ones in
the past are going to get left behind, by the way you can stop reading now.
What sectors of the real estate industry are growing and even thriving in the
current market place? A few that are starting to come into the public eye are
the rent to own and lease options. The question then is how can I as a
professional real estate agent/broker capitalize on this growing trend? Maybe we
need to look at why it is growing, and in fact it is because of the
restructuring of the mortgage companies guild lines. Now it is next to
impossible for anyone that has a credit score of 680 or less to get a loan
without having to give up their first born child to get it (not really but with
the higher interest rates and loan fee it can feel like having another child).
So unless all of your clients have excellent credit or can pay cash for their
next house you as an agent are going to have to change and adapt to the new
reality that we call real estate.
There are a few things that will never change and you have to be willing to work
on these things to be the best of the best if you plan on surviving over the
next few years. One of my personal favorites is going the extra mile. All of you
should know what this means if you don’t then shame on you, you need to repent
and change. Keep in mind that it is often times the little things that make the
biggest difference to your clients and can often times lead to referrals and
future work with the same client. Some suggestions are (by no means is this a
complete list):
- Constant feed back so that your client knows what is going on. You should be in
contact with your client 3-4 times a week even when you have nothing to report.
That way they feel like you are doing something.
- When you give feed back try to always have something positive or encouraging to
say, but be honest. Tell them about the next strategy that you will implement or
the extra effort you have put forth to sell their home.
- Send them hand written notes thanking them for their business.
- Listen, really listen to their needs and wants so that you know how best to
serve them.
- Take time to educate them on how the process works and give them realistic and
honest advice to their home buying and/or selling expectations. Many times you
will find that people don’t understand the market and they have unrealistic
ideas as to what the market is doing. It would be better to be honest and lose a
client then to take the listing and not be able to perform for you client
because they have unreal expectations.
- Always be courteous and professional the golden rule does apply. Treat your
clients like gold and that will come back to you.
Now is the time to be creative. Think outside the box and think creatively. I
know that you have been taught that there is one way of doing business and if
you step outside of the line the you will be violating the code of ethics or
worse the state laws which can lead to fines and jail time. If you don’t know
what you don’t know then yes this is a problem, but if you take the time to
learn the rules and laws then you will quickly see that there is a lot of room
to be creative. The more creative and innovative that you are the more likely
that you will survive through the challenging times ahead. Learn the market
trends see what others are doing and get creative.
Get to the top of your game. Are you playing with real estate or are you a true
professional? If you have been a mediocre agent up until this point in your
career, now is the time to decide if you are all in or all out. That may mean
that you need to change some habits, improve your knowledge and skills, get more
designations, improve your marketing and maybe get some help from a mentor or
coach. It is times like now that separates the true professionals from the hobby
agents and if you are willing to take to the challenge and get to the top of
your game then you will have a good chance to making a great living for
yourself.
Even though the market is looking bleak and your dedication to the profession
will be tested, now truly is a time of great opportunity. If you can capitalize
on the gifts and talents that you have inside and commit to becoming a true
professional you might see the next couple of years becoming the defining years
of your life. If you can see this as an opportunity then you may be the one that
brings the next idea that transforms the entire industry.