Why this is the best market to work in (and the skills you need to succeed)
While every other agent is floundering, you can stand out from the crowd and grow your business. In this article, I'll tell you how. This post includes vendor dialogues, advert script ideas and buyer servicing strategies.
When the global financial crisis (GFC) hit back in 2008, the real estate market ground to a halt. Interest rates climbed. Finance was hard to secure. Buyer demand disappeared. Properties that were getting 10-15 offers were lucky to get 1 or 2. Properties that had consent issues or off-putting features got no interest at all.
Listings suddenly became hard to sell and real estate salespeople panicked. Rather than focusing on solutions, most agents just wanted to moan about how tough the market was.
The dejection in each office was palpable.
What I saw, on the other hand, as a young 23-year-old just getting into real estate, was a massive opportunity.
Audio version
To subscribe to the show, search 'Agent Monday' on Spotify, Apple podcasts, Google podcasts or any popular podcast app.
Suddenly, marketing houses required skill, persistence, and problem-solving ability. Dialogues became critical, and quality vendor relationships were the difference between making sales and going broke.
Real estate salespeople could no longer perform an order-taker role, showing up to open homes and collecting commissions. It was no longer a race to the cheapest commission at listing time, with agents pitted against each other to see who would lower their fee by the biggest amount.
Suddenly marketing plans mattered. Each property required a bespoke campaign to suit the type of buyer you were trying to attract.
When I talk to salespeople about the current market, I am constantly reminded of that post GFC period in 2008/2009. I see striking similarities. And it's time to see it for what it really is:
A golden opportunity for agents with the right mindset.
While every other agent is floundering, you can stand out from the crowd and grow your business. In this article, I'll tell you how.
Step 1. Stay positive
The market is what it is. You can't change that. There is no point in being all doom and gloom about it. You just have to get on with helping people buy and sell.
Obviously, you don't want to B.S people, so the best approach to take when someone asks you what the market is like is to say: "UNBELIEVABLE!" in a very positive tone.
It could be unbelievably good or it could be unbelievably challenging. Either way, it doesn't matter, as long as you are positive and have a solution-focused approach.
No matter what the market is like, houses still change hands. And you are going to be the one to make it happen.
Step 2. Lean in to crucial conversations
In a tough market, you are going to have to eat that frog on a daily basis. Whether it's telling your vendor you have no tenders, or asking them to adjust their price, or repeatedly telling a buyer their crappy offer has been turned down. You have to embrace having these difficult conversations. It's your job.
These critical conversations are the only way to make true progress. That, and the number one thing your clients want and expect at all times is communication.
The key is to stay positive, tell your clients you aren't giving up and that you will keep working until the job is done. No one goes on the market for fun, most clients genuinely want to move and can handle the dejection, as long as there is a plan they can believe in moving forward. Most clients will understand it's not your fault, as long as you present them with a plausible plan B.
So when you show up to a tender meeting with no tenders, use dialogue like:
"Mr & Mrs Vendor, we are going to get your home sold. I am positive of that. It's just probably not going to happen today.
Here's what we should do moving forward. Let's give it 48 hours to see if any of the interested parties want to offer outside the Tender/Auction process. If that doesn't work, let's put a sharp asking price online. I'll call everyone who has been through the property again and re-send it to our database. I also recommend we change the main photo online, update the advert and try the following additional marketing options.
By the way, Mr & Mrs Vendor, is there anything you would like us to do differently to try and secure a buyer? Is there any part of our approach that you aren't sure about or comfortable with?"
That's a plan your owners can get behind.
Notice that last part too - it's important to give your owners a chance to voice any concerns about their sale process. You could be on the market for a while, so you don't want any small objections or concerns building resentment over time.
Andrew Duncan
