I just read a post by Midori Miller on looking at other Realtors as "competition" and while I generally enjoy Midori's blog, I have to say that I disagree with her on this one!

Boxing RefereeWhile her points on how being cooperative during a transaction are valid, I liken it more to what goes on in a prize fight with the referee is giving the boxers their final instructions.  Generally, the ref says something like,

"I want a good clean fight.  When I tell you to break, break cleanly!  But always remember to protect yourself at all times!

The facts of the matter are that we are in competition with one another if we are working in the same market.  This being a fact doesn't preclude us from working together when it benefits both of us.  This is one of the neat things about our business!

Unfortunately, not all of us play fair or even agree on what "playing fair" constitutes.  About a week or so ago I read a post about an agent who drove up to an appointment for a property showing to find her client talking with another agent that she recognized.  It turned out that the agent and the client were long time friends who hadn't seen one another in quite sometime.  The other agent asked the client why they hadn't called her?  She also gave the client one of her cards.

To me, this went over the line.  But to a lot of folks, she was well within her rights to give her card to the client on the if/come that they might call her on another deal.....that as long as they didn't attempt to usurp THAT PARTICULAR transaction, that she was within her rights.  I don't know if there were buyer's agency agreements in place or not, but that's not my point here.  My point is that different agents approach our business with widely differing views on ethics.

This being the case, I think that it's a wise idea to never forget that while that other agent probably shouldn't takesharks in the water a pot shot at you while you're breaking...that they might!  On top of that, they might view this simply as an acceptable business practice!  

I believe that this happened to me a few weeks ago.  A couple of weeks after I listed a property, I got a call from my seller asking to be released from the listing agreement.  My general policy is that as long as they list the home with another Realtor, that I will release them.  So, I did.

When I went to pick up my sign and lockbox, the husband apologized to me stating that his wife had been "guilted" into listing with this agent.

Made me think that she had gone behind my sign?????  I'll never know, but this is one of the reasons that I never forget that this is a dog eat dog business.  My not having forgotten this doesn't mean that I won't ever work with that agent again or even that I'll lower myself to her level by doing something similar to another agent.  It does mean that, to me, selling real estate is not a social activity.  I'm not here to make friends.  I'm here to make a buck and to build my business.  

If along the way, I make a friend or two who happen to be real estate agents, then cool!  They're my friend, but that doesn't mean that they will stop being my competition!

 

R.B. "Bob" Mitchell

ValueList Real Estate Services, Inc.

 

Bob Mitchell is president of ValueList Real Estate Services,  St. Louis' largest discount/full-service real estate and mortgage company.  If you would like to find out more about Bob, ValueList or our flat-fee listing program, please feel free to visit our web site at valuelistre.com
 
Post is included in group: Realtors®
Post is included in group: Mortgages
Post is included in group: The Economics of Real Estate
Post is included in group: Coaching-Personal Development

4 Comments on Alway Remember To Protect Yourself At All Times! - Competition In The Real Estate Business

You definately have to watch your back.  I find commercial even worse than residential.

04/23/2008 04:50 PM by John Walters (Specialized Real Estate)


Hey Bob, glad you are able to blog again with that bad shoulder.  This blogging gets to be so habit forming we just have to continue.  That agent definitely went behind your back and solicited the listing.  I'd be angry with her for a long time too.

04/23/2008 07:46 PM by Barbara S. Duncan ABR, CRS, GRI, e-PRO Searcy AR (RE/MAX Advantage)


John:  I did commercial mortgages for a number of years and was amazed at how unapologetically shark like those folks were.  I had one transaction where I was going to refinance the construction loan on a fairly large strip center that was owned by a local supermarket chain.  

I made my presentations (I had to pitch my deal like 5 times when all was said and done).  The board approved the transaction and they signed my mortgage brokerage agreement (where they discovered who my investor was) then told me that they were going to wait to see if interest rates went down.  

I checked back with them over the next 120 days and they always had an excuse for not moving forward.  About a week (and only a week) after my agreement expired I read about my investor closing on the transaction directly with this supermarket company.  When I called them to express my displeasure with them, the guy who I was dealing with told me that they did this sort of thing all the time in order to save the brokerage commission (which was about $70,000).

To this day, I don't shop at their stores and by the time that I die, I hope that this "costs" them at least my cut of that $70,000!  Thanks for the comment.

Barbara:  Yeah, I know that she did.  She saw it pop up on the MLS or saw the yard sign and went, "Oh my!".  She then called "Just to touch bases" with her old client.  The only saving grace so far is that the home hasn't sold.  Also, thanks for the kind words about my shoulder...I go back to the surgeon tomorrow and I think that I'm coming along just fine! ;-)

 

Bob Mitchell

ValueList Real Estate Services, Inc. 

04/29/2008 09:44 AM by ValueList Real Estate Services, Inc.


Man, I'll bet that commission cut-out hurt that realtor.  Commercial is so cut-throat, so I hear, that I've never pursued it. 

04/29/2008 09:49 AM by Barbara S. Duncan ABR, CRS, GRI, e-PRO Searcy AR (RE/MAX Advantage)


Leave a response…

Name:
Notify me of new comments:
Comment:
What does the graphic say?
 
Real Estate Brokerage: ValueList Real Estate Services, Inc.
Bob Mitchell - Realtor St. Louis
Saint Louis, MO
More about me…
ValueList Real Estate Services, Inc.

Office Phone: (314) 231-5478
Email Me
A blog about St. Louis real estate and about real estate in general from a guy who has been selling real estate and doing mortgages since 1984. I'm also the owner of ValueList Real Estate Services, Inc. a discount real estate company serving St. Louis since 1995!

Links

Tags (Tag Cloud)

Archives

RSS 2.0 Feed for this blog
ATOM 1.0 Feed for this blog

Find MO real estate agents and Saint Louis real estate here on ActiveRain.
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.
© 2007 ActiveRain Corp. All Rights Reserved