Just Curious: How Many New Agents Own Property?

I have noticed this as well. What I see is that young agents that don't own their own homes can't help buyers understand home maintenance, AND they don't understand the stress involved with selling a home.  They ask to access the home for odd things, weird times, come late, etc.  Not that isn't to say that all young agents do that, most are great. 

I do think they lose something by not having been in the process.

 

I agree, totally. how can an agent understand the client and sell long term value if they themselves are on a short term lease!

This is one of the things that created the mortgage problem. Many years ago all Loan Officers were highly educated, home owners and trained very well in not only the technical side but also the emotional side.

Then is became about the quick buck, no look.

Well, since you asked...

I think that you are correct in assuming that the dynamic changes with younger agents who have never been homeowners.  I don't believe, however, that that change carries over to relationships with older "homeowning" agents.  Successful agents, young or old, will relate to a client on multiple levels based upon their own unique life experiences.  I think that older agents probably find more of these levels to relate upon because they've generally had a chance to experience more things.

While the guy at the parts counter may not own a Porsche, I suspect that he didn't ride a bike to work or take the bus either.  That said, he really doesn't have to build a relationship either... Now the guy on the showroom floor selling the Porche really does need to build relationships.  Successful, car salespeople will have repeat clients and referrals just like successful real estate agents.

As for your third hand, I've often thought it would be handy to have one.  I could be typing with both hands an drinking my morning coffee without interruption.

I am with you on this one....that is the question I tell my potential sellers to ask agents on a listing presentation...how many times have they ( agents ) successfully gone through this process ---- with their own $$$. And, the key word is successfully. You would not invest with a stock broker who is not successful in the process ( with his/her own money ) ???

I've often wondered this as well when we get a newbie agent in the office that has never owned. I don't see how they can do a good job because they haven't a clue on the things/problems to watch for when showing homes, to say nothing about the emotional issues. I have noticed that they don't seem to last long.

I think it just bad business to not own real estate... First your wasting your money by not owning and second, how could you ever know what someone is going through unless you have been there.  The down turn of real estate, well the people who jumped on the band wagon to get rich quick have come and they are gone.  Half of our MLS didn't resign this year and that is ok.  Those of us in it for the long haul are seeing the rewards. We must work harder, but we are better at serving our clients and giving them the representation that they deserve, where someone who is in it just for a quick return doesn't give a damn whether they are doing the right thing for the client.

It is a great question. There are however as many answers as there are questions and follow-ups to the questions.

Younger people who have become sales people may have no expierience in home ownership. However they may relate better to those purchasers who are of the same age and that they relate well with.

For those younger buyers who prefer to work with the older agent I believe they expect that agent to own a home. Moreover they would expect a lot more of the older agent than the younger agent.

Of course should a problem arise during or after the transaction then all bets are off as the Buyer then expects all agents to be on the same level.

Cheryl,

Great expression of a question that has occurred to me from time to time.

I'm sure that some folks can do a creditable job without ownership.

I'm sure that some folks can do a crummy job, despite ownership.

And I'm confident that my personal buying and selling experience is a plus for me and for my clients.

It may be that some young people live in an area where they can't afford to buy.  When you are an independent contractor as we real estate agents are, it's harder to get a loan.  So they could be hustling to try to afford and be very sympathetic with buyers who also desire ownership.

Cheryl,

Interesting you bring this up. I have also been thinking about this topic.  I have noticed this is not just new agents, it is agents who have been in the business a while as well.  There are markets that consumers find it difficult to buy a house in, be it new agents or younger agents.  There are also agents who have not had the success they have had in years past, so they have had to downsize or rent.

I think that you can succeed regardless of whether you own a house or not, in the begninning, at least.  You have to start from somewhere.  I think later in your real estate career, it would be harder to be a renter and hold credibility with some buyers.

Hi Cheryl,

I have always thought that it's a worry when you meet a Realtor who's been selling homes for 20 years and never owned one. Sort of rings a bad tune. On the other hand, new agents may be true believers in homeownership but just not yet able to make the purchase. So I say...give 'em a little time.

It makes sense to me that Real Estate Agents would own rental properties too (but I'm not there yet, maybe after I figure out how to put my kids through college).

I guess it's a continuum....

But you raise a great point!

Mary

Excellent point - I know that my own experience in buying and selling real estate has made me a better agent. We also sold our last home in Chicago FSBO -been on that side too!