Much has changed in real estate practice since I first entered the fray in 1998. Back then, sales agents would erect their own signs, call the ‘West’ to lodge their weekend adverts (yes, there was no online advertising) and drive buyers around in their ‘sensible sedans’. Typically, agents would carry numerous property listings with considerable effort applied to matching a buyer with each property. Cooperation between agents was needed to match buyers to properties listed across multiple agencies with fee sharing conjunctional arrangements common.
It is tempting to reflect nostalgically on those years given the cut-throat nature of modern real estate business. Back then we were ‘community agents’, there to assist with peoples’ real estate needs when they required it. Not much prospecting for new business was necessary, agents survived on sound business principles, reputation and word-of-mouth recommendations. In some ways, these were simpler times.
Nowadays, we have ‘performance agents’, identified as those that follow the numbers, determined to sell more property than their competitors and dominate an area. Typically, they prospect like crazy – doorknocking, marketing, letterbox drops and the like. These agents might sell plenty of real estate, but because they are motivated by their own results, some miss the point of it all. That is, as an agent, you are duty bound to achieve the best possible outcome for your client, not what might suit you and your sales numbers.
The question is, can an agent be both – community and client-outcome focused and be a performance agent? Certainly, the community appears to have gravitated toward performance agents. In our time-poor lives, it seems that the agents that make the most noise in their communities attract the most business opportunities.
But will the agent that sells the most in your neighbourhood be the best agent for you? Will you feel just like another number to them? Will they pressure you to accept the first offer so they can move onto the next listing? Will you really get that agent or just their minions? Or are they the most prominent agent in your area because they are the best, work harder than their competitors and achieve outstanding results?
Certainly, the right agent for you is an important personal choice. I recommend you choose one based on their reputation, experience, trustworthiness and how they demonstrate their commitment to serve your best interests directly from listing through to settlement.
Property market analysis can be confusing with the major data houses and property commentators using a variety of price assessment methodologies in their published analysis. For example, according to Core Logic, Perth’s median dwelling value is $813,810 as at 31st May. Ray White group’s Chief Economist reckons Perth’s ‘geometric mean … Read more
This week’s decision from the Reserve Bank of Australia to reduce the official cash rate to 3.85 percent during a period of property price growth is likely to sustain the current upward market trajectory. As the cost of borrowings fall, access to funds from buyers previously unable to meet the … Read more