A New Breed of Realtor and The Shift that is Coming

By
Real Estate Broker/Owner with Seaport Real Estate Services REB.0790195

Yesterday while playing basketball with my boys I took a very hard pass to the side of my head. I did briefly lose consciousness and began vomiting shortly thereafter which is indicative of concussions that I am all too familiar.  No, I did not do the right thing and go to the hospital but I am staying away from the computer and transcribing my thoughts into my phone.

Today, I am impaired In many ways, with dizziness, ringing in the ears and a sense of helplessness that has taken me out of my typical routine and comfort zone. Yet, there is clarity in regard to the industry in which I call my career. Real Estate over the years has become less about helping others make the right decisions and more about buying leads, prospecting, repetition of actions, following a script, accountability, and selling.

A new breed of realtor is being “Coached” to make more calls to expired listings, knock on more doors, and recite brilliant scripts that have been proven to convince a prospective client that they are the most qualified to get the job done. Don’t believe me? Google “Real Estate Scripts” to get a glimpse of the real estate underbelly. You may want to familiarize yourself with these scripts before hiring an agent as it will help you to eliminate transactional agents from true fiduciary agents.

Perception is reality when it comes to video, blogs, social media, teams and the number of transactions being completed in the past 12 months. Don’t be fooled when you see an astronomical number of transactions completed by one person. This is typically the leader of a team who is building their own reputation at the expense of hard-working team members who are fighting like heck not to be part of the 87% of agents who fail every 4 years.   

I must now defend these very same agents as many of them may be good people who simply have been presented with a formula that has granted them success in an industry that has few too many barriers to entry and way too many agents.  Do you know someone who is a realtor, was a realtor, or perhaps you yourself tried to break into the industry?  Most of these people quickly learned that it is less about mastering your real estate craft and more about lead generation and selling. Some of these agents utilize the word “Sell” as if it is a badge of honor. To “Sell” as found in the Merriam-Webster dictionary means to deliver or give up in violation of duty, trust, or loyalty and especially for personal gain.  “Prepare to be sold” used to mean that a company was positioning itself for sale and is now being used by realtors on billboards.

I predict that a new movement will sweep the country similar to that of a pandemic. This movement will embrace a group of real estate professionals and those in supporting industries who will work with an even smaller group of consumers. This group of consultants will embrace the fact that real estate is cyclical and now may not be the right time to buy or sell based on price range and location of real estate or where we are in the current cycle.  These same agents will learn to be contrarians and question the status quo.  Decisions will be based on facts, data, trends and will minimize a clients risks while maximizing returns.  This time is coming soon. More to come.

Posted by

Tim Bray

 

B.S. Real Estate & Urban Economics (UConn)

Seaport Real Estate Group @ Sotheby's International Realty

Residential & Commercial Real Estate

Representing buyers/sellers of residential, income-producing, investment & development real estate

Cell: 860-912-7137

www.seaportre.com

Email: tbray@seaportre.com

Fax: (860) 760-6784

"Partnering with you to make real estate decisions worldwide."

 

Servicing five great locations:

Mystic, Old Lyme,Essex , Madison, Guilford

Comments (55)

Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Now, that's a pandemic I can get behind! Be safe.

Mar 15, 2020 03:45 PM
June Piper-Brandon
Houwzer Inc - Baltimore, MD
Piecing Dreams One Home at a Time

Tim, a concussion is nothing to mess with, go to the doctor now!!  But, you have hit the nail on the head.  There are more and more companies like Redfin and now Houwzer that seem to be like puppy mills, listing homes then the work is taken over by a transaction team and more and more agents from other companies that are training new agents to spout statistics and the scripts.  The face of real estate is changing.  Not sure I like it!!

Mar 15, 2020 03:55 PM
Adam Feinberg
Elegran - Manhattan, NY
NYC Condo, Co-op, and Townhouse specialist

Quite well written considering the bonk to the head. In my market- we are defintely seeing a new breed of agents- former Wall Streeter's and I am among them. As Wall Street has consolidated, automated, and become over regulated in the wrong ways- a lot of talent has now started working in real estate. Since we are mostly selling condos and co-op's these former finance professionals have a huge edge over those that were actors, artists, designers, etc that were previously dominating our market. We have to evaluate a buyers net worth, their earnings, debt to income levels, and post closing liquidity to present their offer. On the purchase side- it helps to know how to read building's financial statements. While most new agents tend to fail in this business- my observation that the former finance professionals have a much lower failure rate- though some will still be ill prepared to survive the long cycles of no income.

Mar 15, 2020 05:59 PM
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Hello Tim - an interesting read and I do hope you are well on your way to a full recovery.  Everyday changes in life are certainly felt in real estate as well.  Be prepared...it's often a bumpy ride.  

Mar 15, 2020 06:43 PM
Marney Kirk
Cummings & Co. Realtors - Towson, MD
Towson, Maryland Real Estate

Hi Tim, I hope you are OK. What a great idea to google real estate scripts to find out more about transactional relationships!

Mar 16, 2020 06:15 AM
Dorte Engel
RE/MAX Leading Edge - Bowie, MD
ABC - Annapolis, Bowie, Crofton & rest of Maryland

Dear Tim,

It seems to me that good Realtors have always been working this way. If you look out for your clients, they will look back out for you.

Mar 16, 2020 06:26 AM
Dorie Dillard Austin TX
Coldwell Banker Realty ~ 512.750.6899 - Austin, TX
NW Austin ~ Canyon Creek and Spicewood/Balcones

Good morning Tim Bray ,

I certainly hope you have now seen a doctor.a concussion is nothing to fool with! I've been in business for 29 years and have my go to scripts and answers to questions. My clients bring me repeat business often 4-6 times and always refer me to family and friends. They want personal service which is not dead. They trust my advice, expertise and experience. There is room for all kinds of agent service so consumers can pick the level of expertise they are willing to accept.

Mar 16, 2020 07:00 AM
Bruce Hicks
Best Homes Hawaii - Honolulu, HI
Your Best Hawaii Realtor!

 My foremer Broker, now retired, once said "there will always people needing us, buying or selling due to family matters, growth, divorces, deaths, marriages, job changes and more." Tim Bray 

Mar 16, 2020 01:13 PM
Michael J. Perry
KW Elite - Lancaster, PA
Lancaster, PA Relo Specialist

Remember that mastering scripts Sells Out Broadway and wins Oscars in Hollywood!

Mar 16, 2020 02:33 PM
Margaret Goss
Baird & Warner Real Estate - Winnetka, IL
Chicago's North Shore & Winnetka Real Estate

Tim

I mostly agree with your post - except for this:

" in an industry that has few too many barriers to entry "

I actually think there are too few barriers to entry (like more education and mentoring.)

Mar 16, 2020 03:29 PM
Laura Filip
Laura Filip Broker , Opening doors for All Seasons of Life - Whitesboro, TX
What can we do for you today?

Thank you for sharing this with us. Scripts are something that is interesting, I would say one needs to learn the art of language. Have a great night. 

Mar 16, 2020 07:02 PM
Peter Mohylsky. Broker
Miramar Beach, Florida - Santa Rosa Beach, FL
BRIX REALTY

Reality does change on a regular basis.  What is reality?  Is it the same for both of us?  or more importantly can reality be managed?  Just thinking.   

Mar 17, 2020 09:32 AM
Naomi Prusinski
Waves Realty - Indialantic, FL
Real Estate Agent serving Space Coast

Interesting read, as a new agent it is difficult to get started but like anything consistency is key to success.  Hope you are feeling better!

Mar 17, 2020 11:55 AM
Stephen Turner
Burkentine Realty Group (Burkentien Builders) - York, PA
The BIG Guy of NEW HOME SALES

quite the perspective. It's true, today being good at "real estate" really isn't about real estate. It's lead gen, marketing and sales. And there are plenty of 3rd party companies even trying to "do that for us" too!

Mar 17, 2020 01:17 PM
Jim Whatley
Uber Realty - Fort Walton Beach, FL

I do agree with you, I figured I would only do what I can control and deliver. 
I like doing between 35-50 deals a year. I keep an average house sold price of 330-350. I'm happy, my customers like consistency and they know when they call they will get me.  I meet the inspectors, appraiser and repair people at the property and they know I'm vested in the process. There are agents that sell more homes then I do but I don't think they do what I do.  With a Name like Uber you have to be good.

Mar 17, 2020 06:05 PM
Sondra Meyer:
Colorado Springs, CO
See It. Experience It. Live It.

Sorry about your concussion.   

I agree with your view/vision.   It is basically how I have attempted to run my business as is.  

 

 

Mar 17, 2020 07:54 PM
Georgie Hunter R(S) 58089
Hawai'i Life Real Estate Brokers - Haiku, HI
Maui Real Estate sales and lifestyle info

Take care of yourself, but stay away from the hospital if you can.  Good job on the featured post. 

Mar 17, 2020 08:03 PM
Mary Hutchison, SRES, ABR
Better Homes and Gardens Real Estate-Kansas City Homes - Kansas City, MO
Experienced Agent in Kansas City Metro area

I have encountered agents like you describe.  And some mortgage lenders.  Those who consistanly brag about how many transactions they do in a year DO NOT impress me.  Some sellers/buyers fall for it.  I have found that those pp who focus on numbers typically do not let the details slide, are difficult to reach, and put their 'work' above all else.  Not for me.

Mar 18, 2020 07:25 AM
Kimo Jarrett
WikiWiki Realty - Huntington Beach, CA
Pro Lifestyle Solutions

I agree with your assessments, however, many if not most new agents are trained to be order takers or transactional agents by their Broker. When I first started years ago, I discovered that the business model I was following and trained to do was not only inappropriate but virtue less too. So I moved and after several landings finally found the right Broker to hang my license. Great post.

Mar 18, 2020 08:27 AM
M.C. Dwyer
Melody Russell Team at eXp Realty of California, Inc. - Felton, CA
MC Dwyer-Santa Cruz Mountains Property Specialist

Congrats on getting your post featured!     It continues to amaze me how many buyers and sellers hire a rockstar agent who cannot possibly perform all the necessary tasks and delegates key functions to newbie agents.

Mar 18, 2020 11:13 AM