Is Your Real Estate Business Shark-Proof or Shark Bait?

By
Real Estate Broker/Owner with Providence Group Realty TREC# 0608931
https://activerain.com/droplet/4mjc

As the start of a new school year debuts in the DFW Metroplex, the sage advice we whisper to our young scholars returns to herald their way back to classroom corridors: "You will be known by the company you keep." 

Your Business Associations Matter

For every reason this advice works to guide our children to choose their friends wisely -- and to select positive  associations that will serve to support them and lift them up toward higher goals -- it applies to new and seasoned Realtors, alike.  Your business alliances, ranging from choice of Broker  / Brokerage, mentor(s), colleagues, and business partners (vendor partners) are not only a direct reflection on you, they will also work to shape and influence you both personally and professionally as you progress in your career.

"It will be fun," they said. 

I love the doe-eyed innocence of every newly-licensed realtor who proclaims a get-rich-quick plan courtesy of real estate sales. 

Newsflash: Pre-licensing courses do not prepare Realtors for production in real estate. Although they do provide a fundamental knowledge base upon which to build a practice, they do not provide the practical skills that can only be earned through actively engaging transactions and working through real-life business challenges. 

The hard truth is that when they first start practice, new Realtors typically feel like they are walking on solid ground. They usually have assistance from their broker / trainer / manager, and are closely supervised on first transactions to help make sure all goes well. 

Once agents get a little more independent and have at least 10 - 15 transactions under their belt, they start to lose a bit of that newbie innocence and gain a new understanding by virtue of the adversity and challenges they have faced along the way. Real estate is a very rewarding profession -- and it is also hard work. That glamourous Hollywood portrayal of slick salespeople driving around in fancy cars and living a life of leisure quickly gives way to reality… Real estate is more about people than it is about million dollar mansions, glamour, or prestige -- in any market. 

 

surface flawIn every "people" business, there are always wildcards. The clarity that comes with transaction experience is that the stakes can run high, and the responsibility of licensure is a serious matter. Agents often experience a sudden realization that the 'solid ground' they thought they were walking on is really nothing more a glass plane. And when the light bulb  turns on, they can see that there is water underneath that glass. And swimming in that water are sharks -- circling and waiting for an unsuspecting agent to step onto a surface flaw.

 

Having the right TEAM in a real estate transaction is critical to a successful practice. There are so many things we cannot directly control... By exercising influence in areas where it CAN make a difference  (hiring & referral decisions) Realtors can directly impact their success rates. 

Elements agents can control:

  • Agents can control themselves  (knowledge, skills, competency, insight, and learned strategies)
  • Expectations for performance and duties
  • Referrals and Recommendations
  • Resource and Strategy Partners 

Elements agents may be able to influence, but cannot control:

  • Parties to the transaction; Attitudes and Perceptions
  • Client or Negotiated Hiring Decisions
  • Strict adherence to contract timelines by all parties
  • Outside Third Parties (Neighbors, Contractors, Vendors, Family, Friends) 

 transaction_influence

Best practices and continuing education go a long way toward surviving in the Wild, Wild West of real estate.  Fortifying these measures by surrounding oneself with encouragers, well wishers, and folks who can give wise counsel when challenges and struggles are encountered are veritable 'shark repellent'. 

 

Who are the folks who make up a Realtor's core "Shark Shield Team"? 

BROKER / MENTOR / MANAGER / TRAINER -- Regardless of tenure, the most important career choice a Realtor makes during the course of her career is the combination of Sponsor and/or Trainer.  The Law of the Lid  dictates that the leader(s) a person chooses must operate on a higher scale than themselves if they wish to grow and reach higher levels of success. For the career-minded professional, the right mentorship affords accountability, encouragement,  vision,  leadership, coaching and development.  If you don't feel that you are reaching your full potential, remember YOU are the only one who can hold YOU back. Are you ready for a change

LENDERS -- Buyers may come to us with a lender already in tow. If your client is committed to a lender, this can be a great way to meet a new lending partner. After all, you can easily judge the character of a man by how he treats those who can do nothing for him. An awesome lending partner will be accessible to the client the same way you are -- 24/7. An awesome lending partner will have strong industry knowledge, and a technology-based transaction management  system that tracks contract dates. There's nothing worse than a lender who notifies the client the day before closing that they will need another week to get a clear to close because of underwriting delays…  Except a lender that notifies your client the day  AFTER the 3rd party financing protection period expires that he won't be able to obtain financing. 

ESCROW OFFICERS -- Let's face it, most consumers don't even register that they have a choice about title companies, and fully rely on Realtors  to make good suggestions in this area. A knowledgeable and experienced escrow officer and/or title attorney can be the single most important recommendation  you can make as a real estate agent. Our policy is not to get into tug of wars over title companies; however, simply "going with the flow" can be a big mistake. Don't depend on Nancy Naïve-agent to make a good hiring choice for your client based on her franchise brand's marketing agreement to use a specific office or Title brand. The heaviest project management responsibility in any transaction is carried on the shoulders of a GREAT title agent. A weak link in this category can easily place your client in  contractual default if you aren't minding the details closely. The kind of trust you need to out source this level of responsibility is earned -- not given. 

HOME INSPECTORS -- Much like title companies, our clients (and even our customers) are going to look to us for recommendations about hiring inspectors. Whether a generalized home inspector, or a specialized vendor (like pest, sewer, roof, foundation, plumbing) the right partner(s) can make a big difference in consumer education and confidence. The licensing requirements for home inspection are relatively simple. Anyone can take a few classes and get a license. The specialized knowledge and bedside manner that comes with a construction background and years of experience cannot be taught from a book. Neither can honesty. The right inspector partner will be able to warn a client about issues that are high cost or safety concerns, and will likewise not try to 'add value' to his role by over dramatizing things that are no big deal. A good inspector will also be able to admit when he doesn't know what he doesn't know… and recommend qualified, specialized consultations when appropriate. A fundamental thing that any agent can do -- regardless of their tenure in the business, and for FREE -- that can help them to become a better Buyer's Agent: attend home inspections from start to end.

Once agents fill core areas of their Shark Shield Team, they will be able to start extending and enhancing it.  From General Contractors to Family Practitioners and everything in between, one of the most valuable things we provide as Realtors is the expertise our clients need to make informed decisions that will best serve their needs and goals.  

Surround yourself with excellence, for you will be know by the company you keep.  #sharkproof

 

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Re-Blogged 2 times:

Re-Blogged By Re-Blogged At
  1. John DL Arendsen 08/22/2014 01:14 AM
  2. Winston Heverly 04/22/2015 01:50 PM
Topic:
Real Estate Best Practices
Location:
Texas Collin County
Groups:
Collin County, TX Real Estate Professionals
Dallas, TX Real Estate Professionals
Bananatude
Texas Independent Broker Network
Tags:
sponsorship
broker
leadership
excellence
influence
real estate best practices
shark proof
personal power team

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Show All Comments
Rainmaker
1,431,803
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

Good way to put things,  Quality escrow and inspectors are very important.

Aug 21, 2014 06:06 AM #1
Rainmaker
1,426,835
Sheri Sperry - MCNE®
Coldwell Banker Realty - Sedona, AZ
(928) 274-7355 ~ YOUR Solutions REALTOR®

Amanda, 

I have a core of great service partners and I work for a broker and owner who I have all the confidence in.  But we are amongst the sharks on a daily basis and you never know until you get bitten which one it is.  I prefer to keep my guard up at all times. 

Aug 21, 2014 07:19 AM #2
Rainmaker
124,564
Richard Woodward NMLS#217454
Service First Mortgage, NMLS #166487 - Dallas, TX
Service Beyond Expectations! Your Texas Lender

Excellent article Amanda Thomas .  As a top Dallas Texas lender I applaud your attention to detail.  My team and I do infact have a system in place to track and STAY on track during the transaction.  We truly believe the that the contract closing date IS the closing date, not just a suggestion.  Again, great article, real estate is a team sport!

Aug 21, 2014 08:06 AM #3
Rainmaker
729,113
Wayne Johnson
Coldwell Banker D'Ann Harper REALTORS® - San Antonio, TX
San Antonio REALTOR, San Antonio Homes For Sale

Amanda-After the Real Estate Agent and Loan Officer/Processor, I agree the Inspector and Closer are critical to coming to a good result. 

Aug 21, 2014 08:30 AM #4
Rainmaker
1,072,262
Sharon Parisi
United Real Estate Dallas - Dallas, TX
Dallas Homes

Amanda, surrounding ourselves with knowledgeable resources is one of the most important things we can do for our business.  It increases our knowledge exponentially!

Aug 21, 2014 04:00 PM #5
Rainmaker
3,331,385
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Real Estate Agents - Luxury - Divorce

You are correct of course....you are known by the company you keep....and the highest and best source is best !

Aug 21, 2014 10:16 PM #6
Rainer
226,585
Robert Hicks
United Country River City Realty - Savannah, TN

Great read-- we must have all the "proper" tools in the tool box to get the job done. Thanks for sharing..

Aug 22, 2014 12:15 AM #7
Rainmaker
162,386
Amanda Thomas
Providence Group Realty - Plano, TX
​Broker, SRES®, BPOR, MCNE, ​Certified DRS Agent™

Robert Hicks, thank you for your feedback. :-)

Sally K. & David L. Hanson - I love your tie in to 'highest and best'! :-)

Sharon Parisi - to the love of learning! :-)

Wayne Johnson - Amen! Wishing you many cosmically smooth transactions. <3

Richard Woodward - I hear Homepath & Homepath Reno are being discontinued. Do you have any upcoming trainings for Realtors for Homestyle? :-)

 

Aug 22, 2014 12:27 AM #8
Rainmaker
162,386
Amanda Thomas
Providence Group Realty - Plano, TX
​Broker, SRES®, BPOR, MCNE, ​Certified DRS Agent™

Sheri Sperry - Your name will be in my head all day. :-)

Gene Riemenschneider - your kind words are appreciated. :-)

Aug 22, 2014 12:27 AM #9
Ambassador
688,453
John DL Arendsen
CREST BACKYARD HOMES, ON THE LEVEL GENERAL & FACTORY BUILT HOME CONTRACTOR, TAG REAL ESTATE SALES & INVESTMENTS - Leucadia, CA
Crest Backyard Homes "ADU" dealer & Contractor

These are all commonsensical principles we should all know and practice and to a large extent probably do. However, this post really cuts to the chase in a very clear and concise manner. Great post!

Aug 22, 2014 01:12 AM #10
Rainmaker
124,564
Richard Woodward NMLS#217454
Service First Mortgage, NMLS #166487 - Dallas, TX
Service Beyond Expectations! Your Texas Lender

Yes Amanda Thomas those programs are being discontinued but Homestyle is for all properties, not just Fannie Mae REO and is a great program.  Homestyle is limited to to few lenders.  Our defining difference is that we have a renovation concierge that assist all parties involved in understanding and completing the project seamlessly.  

I am co-hosting a Lunch and Learn and MCE Class.  

FREE LUNCH TO BE SERVED

When:  Thursday, September 18th                            10:30 – 1:30pm

Where:   Trinity Title of Texas

                (formally Timios Title)

17740 Preston Road Dallas TX 75252

 

Seating Is Very Limited           

Please RSVP Early!!  (972) 707-1800

 

 

Aug 22, 2014 01:28 AM #11
Rainer
299,244
Paddy Deighan JD PhD
federalfinanciallawgroup.com - Vail, CO
Paddy Deighan J.D. Ph.D

enjoyed the post...........at first, I imagined a reference to sttaorney as the sharks!!!!

Aug 22, 2014 05:59 AM #12
Rainmaker
827,872
Troy Erickson AZ Realtor (602) 295-6807
Good Company Real Estate www.ChandlerRealEstate.weebly.com - Chandler, AZ
Your Chandler, Ahwatukee, and East Valley Realtor

The people you do business with will definitely have a reflection on you and what people think of your expertise. It's always good to associate yourself with other professionals like yourself, and ones that make you look good.

Aug 23, 2014 11:33 AM #13
Rainmaker
1,022,720
Jan Green
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

I'm shocked there aren't more responses on your post.  Excellent information and relevance to real estate.  The Shark theme lately has taken on a life of it's own!  Seriously though, real estate is a business and must be handled in the same manner.  Associate with the pros and a positive vibe follows.  That has always been my mantra.  And having a "team" of professionals to advice and service my clients is key to the success of my business.  So even though I'm not on a team, I have a team!

Aug 24, 2014 07:54 AM #14
Rainmaker
1,676,510
Winston Heverly
Winston Realty, Inc. - Atlantis, FL
GRI, ABR, SFR, CDPE, CIAS, PA

I think we have some of the best reads out there on Active Rain. Thanks for sharing

Mar 20, 2015 12:29 PM #15
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Rainmaker
162,386

Amanda Thomas

​Broker, SRES®, BPOR, MCNE, ​Certified DRS Agent™
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