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4 Essential Skills Every Realtor Must Have

By
Real Estate Agent with Team Lorenz

 

What do you think are the 4 absolutely essential skills that every  Realtor must have command of in order to succeed? I have my ideas, but I would like to hear yours. This whole “exercise” came about through a “career class” for high schoolers. The proposition put to the students was: you are about to be transported to another planet because Earth will be destroyed by an asteroid. You will be taken to another planet exactly like Earth, but without any inhabitants. You can take a maximum of 30 people. What will their ages be? Their sex? Their professions/skills? There will be wild animals there, so you’ll have to have some sort of a hunter… And somebody that would know how to make a gun. Carpenters, medical people, engineers, etc. The 1st student answered and said somebody who could grow pot! By the end of a full semesters assignment, the students realized what was really critical. Or what I will call the “absolutely essential skills”.

That same kind of thinking has guided me into recognizing the following critical skill sets.

                NEGOTIATING To me this is a huge essential. Every single transaction we negotiate. Buyers and sellers do not do this every day and tend to get way too emotionally involved and often times lose perspective. This is certainly one of our most important skill sets. This is a skill that will use not only with buyers and sellers, but in buying our cars, buying supplies, buying your boat etc.

                COMMUNICATION  What is the single number 1 most often heard complaint from sellers? “We heard from our Realtor when he listed our house and never heard from him again until the listing was about to expire.” Remember that communication is two-way. You have to listen in order to understand. My daddy taught me years ago that we have 2 ears and one mouth and that we should use them in that proportion. Learning this skill will also help you in life; are any of you married? Have teenage kids?

                GENERATING A LEAD None of these skills mean much, if we have no buyers or sellers with whom to work. As the leader of my Team, I often remind the team members that the very hardest part of real estate is generating the lead. And by that, I mean real leads that turn into transactions.

                MARKET KNOWLEDGE It doesn’t make any difference if you are working with a buyer or a seller, you have to know the market and be able to communicate that to your clients. Knowing the comparable sales and properties currently available are absolutely vital to be in business. Let me share this illustration with you. If a woman walked into a dress shop and said to the clerk that she was looking for a black cocktail dress and the clerk responded “Well, I don’t know. Let’s walk around the store and see if we can find one.” That clerk had so little “market knowledge” she didn’t even know the direction to go look for the black dress. How many Realtors do you know who have no idea which subdivisions have homes in a certain price range? My answer to that would be, far too many.

Each of these skills have subsets under them of course. Marketing would be a subset under generating a lead. Communication might be broken down into buyers and sellers and the general public. Interview skills (Your ability to really drill down into the answers and continue to ask more questions so that you truly know what the buyer wants.)  Negotiating could have one subset that specifically discusses various strategies. For instance, “split the difference” is a strategy that I see used far too often, but there are many other negotiating strategies as well. How about the “front porch strategy” and you ever use that for one of your clients?

My purpose is to get all of us thinking what really and truly are the basic skill sets. And then we need to hone those skills. There is no silver bullet or magic potion in this business. We should stop looking for that and simply implement the many things that we have heard and seen, but never put into practice. I would really be interested in hearing your thoughts about the skills that you think are essential.

               

Christina Sanchez Hood
Palo Alto, CA
#SiliconValleyHOODS | Inspired Living

Rick, I must agree with you that these basic skills will make or break a real estate agent, no matter how experienced they are at what they do!  If one has minimul market knowledge, they will not be able to communicate, nor negotiate well.  Leading to few leads generated from a non-exixtent transaction.  Great post!

Jan 05, 2013 01:02 PM
Brian Rayl
Home Value Leads - Highland Park, TX
Active Agent and Co-founder Of Home Value Leads

Excellent post Rick. Those are essential. I would add one to your list though. It is not essential to be a REALTOR, but it is essential to be successful in today's market and that is THE ABILITY TO THINK OUTSIDE OF THE BOX. In marketing, in technology, in dealing with people, and with coming up with new ideas to implement into your business. 

Jan 05, 2013 01:02 PM
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

Thanks Rick,

Negotiation

Communication

Lead generation

and Market knowledge

Great essentials for Realtors and every professional.

Jan 05, 2013 01:02 PM
Pamela Seley
West Coast Realty Division - Murrieta, CA
Residential Real Estate Agent serving SW RivCo CA

Rick, I agree that turning a lead into a transaction is one of the more difficult parts of the business, but the most rewarding, too. Referrals are easy.

Jan 05, 2013 01:04 PM
Jordon Wheeler
The Jordon Wheeler Group - Fairburn, GA
J W Group Real Estate Sales and Service

Hey Rick,

These are all necessary skills for the real estate professional.  Good post!  Best of success to you in 2013!

Jan 05, 2013 01:54 PM
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Rick,

The real value is the process which you have laid out.  Getting each of us to think out of the box.  You came up with a great list.  Maybe others will have slightly different.

Jan 05, 2013 02:21 PM
Ki Gray
SkiHomes.com LLC - Aspen, CO
SkiHomes.com - the ultimate snowsport home search!

All very important skills, Rick.  Thanks for sharing - definitely good to keep in mind!

Jan 05, 2013 03:08 PM
Praful Thakkar
LAER Realty Partners - Burlington, MA
Metro Boston Homes For Sale

Rick, great essentials - and generating leads comes first because once you have leads, we can go from there to communicate our market knowledge leading to offer that can be negotiated in our clients favor.

Jan 05, 2013 03:11 PM
Dave Williamson
Gateway Funding - Winona, MN

Excellent article Rick. Thanks for sharing your views. Very important for success in 2013

Jan 05, 2013 09:48 PM
Rick Lorenz
Team Lorenz - Durango, CO
REALTOR Emeritus, CRS, ABR, CyberStar, CNE, E-Pro

To each of you I say, thank you very much for your comments. Now that we have identified, what I think are, the 4 most essential skills, what can we do with that information? Just like the Lumberjack who sharpens his saw or ax repeatedly…even if he has been chopping wood for 20 years…we need to hone our skills as well. It is one thing to say that, now what is our plan to actually do it? We could very easily say we will take one month on each of the 4 skills. I just Googled the term "real estate price negotiation strategies". A number of articles came up including some information in Realtor.com and others. Tim Burrell is an attorney as well as a Realtor and friend of mine from a mastermind group of which we are members. He has written a book on negotiating. Google him and you can find out how to buy that book.

My point is this. I need to have a plan...we all need a plan...to work on each of the 4 skills sets. Set 30 days aside to better train yourself in each of these 4 skills and I guarantee you by the time you hit the month of May you will see increased success in your real estate business.
Thank you all for your input.

Jan 05, 2013 10:35 PM