What Do Real Estate Agents Really Do For Their Money?

I see a lot of people on online prop­erty invest­ment for­ums pos­ing ques­tions such as “I would like to know what Real Estate Agents actu­ally DO to earn their com­mis­sion on the sale of a property?”

Real estate agent putting up his feet work for is money

Some people may think this is what we do for our money!

Seven Hills Real esate agent Working Hard

What we actu­ally do!

 

 

 

 

 

 

 

 

 

 

The answers given by respond­ents are gen­er­ally mixed. Some say “By find­ing a buyer”, oth­ers say “By giv­ing people the oppor­tun­ity to buy your prop­erty”. Well this is true. We do bring buy­ers to your prop­erty, but that is only what the pub­lic see.

Do you want to know the real secret about real estate agents?

Well as you have prob­ably figured out your­self, any mon­key can put up a sign board, order a pro­fes­sional real estate pho­to­grapher and load the pho­to­graphs up onto the internet.

Yes, of course buy­ers will come to your house in droves (provided the advert­ised price is right). The agent doesn’t even need to be the one show­ing them through.

At this stage you’re prob­ably think­ing “I’m selling myself out of a job!”

I’ll tell you the secret now….. The answer is NEGOTIATION.

If you are a buyer here is some great nego­ti­ation strategies for get­ting the home you want.

Real esate agent negotiating

Now let me break this down for you. A good agent cre­ates an environment/system, almost like a pres­sure cooker situ­ation, where he/she can make the buyer push up their offer, bey­ond what they were ori­gin­ally will­ing to pay for the house. So when the agent is talk­ing to the seller he/she can say with con­fid­ence “This is the max­imum that all the buy­ers can pay”.

Now you might be think­ing “Well I can do that. I’m good at negotiating.”.

Well Good real estate agents spend $1000’s of dol­lars learn­ing from the top Agents in Aus­tralia and the U.S.A. I have seen some Top Gun real estate agents spend count­less hours in coach­ing and hon­ing their selling sys­tem in the real word. If you look at the top ten real estate agents in Aus­tralia you notice they are highly sys­temised in their nego­ti­ation pro­cess, stick to what works, and learnt it all from the school of hard knocks.

If you are still not will­ing to pay an agent for this skill let me tell you a little story.

1980s printing pressIn the 1980s there was a big-time news­pa­per com­pany in New York City but there was a prob­lem with their print­ing press. The whole thing shut down des­pite the efforts of staff and for each minute the print­ing press was down it cost the news­pa­per com­pany $10,000. They called in a spe­cial­ist engin­eer imme­di­ately at 3am in the morn­ing. He was down there in 12mins, walked up to the machine, asked one ques­tion, opened the oper­at­ors box, rubbed his chin, and said “AAHHH… here it is.” He turned one screw and the print­ing press restar­ted. 2 days later the spe­cial­ist engin­eer received a phone call from the news­pa­per com­pany editor. “A $100,000 bill for one screw and 5mins? Are you crazy? How do you jus­tify that?” the editor screamed. The engin­eer said, “Well if you want an invoice break down: call-out free $40, know­ing what screw to turn, $999,060.”

Nego­ti­ation kills are the same and a 5 minute con­voc­a­tion can make or lose you $10,000. If you want to prove that a real estate agent is worth their money. Ask them to demon­strate their nego­ti­ation pro­cess and skills. If you’re not happy with the answer don’t hire them. Simple!

 

The art of prop­erty sales writ­ing and how it’s proven to gen­er­ate more buyer enquiry?

I per­son­ally know a real estate agent that sold a house in 11 hours because of his cre­at­ive sales writ­ing skills. Agents call this skill copy writ­ing and it is tech­nical writ­ing skills all big news­pa­pers and magazines use to get you to read their stor­ies. My agent friend was try­ing to sell a DUMP of a house and the pre­vi­ous agent had got­ten very little enquiry on over 18 months.

Funny Common Critical Mistake selling real estate in seven hills

So what did he do? No he didn’t write “ren­ov­ated delight”. He did copy writ­ing 101, he wrote an enga­ging head line, “A-grade dump” and went on in the descrip­tion Tell buyer to ‘Bring your vomit bucket’, ‘wear your safety goggles’ and ‘call in the CSI crew’.

Now I don’t sug­gest this for all homes in all mar­kets but think about it, would you read this ad if you were scrolling for homes on you mobile, I would?

Now this gained the atten­tion of the Brit­ish and Aus­tralian media. What I found most inter­est­ing is that the buy­ers loved it, it was mem­or­able and they shared it with their friends.

 

Stay tuned for our next top­ics about;

How real estate agents leg­ally bend the rules when it comes to photography!

Data­bases and Buyer filters.

What is Inter­net mar­ket­ing and this skill finds you more buyers.

How the agreed sale falls apart and how agents keep it’s together.

Emo­tion around property.

What hap­pens when we take the deposits.

About 

Jhai is an award win­ning Inter­net Mar­ket­ing Real Estate Agent for Eld­ers Toongab­bie and Kings Langley. After run­ning his own inter­net mar­ket­ing busi­ness he has now set his own sites for the real estate industry. He observed that 90% of real estate agents did not know how to mar­ket them­selves online. Jhai is now fixed on one goal. To teach real estate agents that they can mar­ket online so much bet­ter than they cur­rently are.

Since then he has been con­sist­ently quoted in the Sydney Morn­ing Her­ald and Real Estate Busi­ness online. He is a reg­u­lar guest blog­ger on TheHomePage.com.au, shar­ing his expert­ise of mar­ket­ing aspects for the Real Estate Industry. His biggest pas­sions are his wife, mar­tial arts, dogs and most of all property.

seven hills real estate agent NSW
Cnr Federal Road Prospect Highway Seven Hills NSW 2147 Australia