What Makes An Effective Agent And Broker?
It is challenging to sell a real estate property here in the Philippines. In fact, many budding real estate agents and brokers fail to make it through their 2nd year and shift careers. There are several reasons why and one of them is the stiff competition.
There is no question that there’s a lot of outstanding real estate professionals in the industry. You may have heard the success stories about how these successful agents and brokers raked millions from their ventures. These agents sure know how to sell properties as if they’re hotcakes.
So let’s ask the million-dollar question, “what makes an effective agent and broker?” What are the secrets to their success? Suppose you’re one of the struggling agents or brokers who wish to make a mark in the real estate industry. In that case, these skills and strategies might be beneficial to you in attaining your goal of becoming a successful real estate professional.
Hoppler talked with some of the industry’s most successful agents and brokers, and we’ve compiled a few tips on how to be an effective agent in the real estate industry.
Don’t always focus on selling
Although it may sound contradictory since agents and brokers are into selling real estate properties, this mentality is helpful for you in the long run. Of course, having a thorough knowledge of sales tactics will benefit you, but you don’t always have to make a hard sell. Some situations call for a different approach, and veering away from the pushy real estate agent stereotype might be the best move in your real estate career.
Instead of seeing yourself as a salesperson, it would help to think of yourself as a consultant. Having solid photography skills, coupled with a creative description of the listings, will be more helpful than your selling prowess.
Learning soft skills is likewise beneficial in the long run. People skills, the art of building rapport, self-motivation, and problem-solving are a few of the traits that good real estate agents possess.
Do your assignments
If you wish to be an effective agent and broker, you need to invest time and effort in learning about real estate law and local taxation. Having a thorough knowledge of real estate laws will help you explain to clients the details of the listings. Prospective clients will be impressed if they hear you talk about the real estate law and taxes as if you’re the one who wrote them.
The knowledge of real estate law and local taxes will especially be useful if the client is a foreigner who is planning to invest in the Philippines. Instead of outright telling him he cannot purchase any real estate here, you can provide options and scenarios on how he can acquire property if he follows the guidelines set by law.
Treat your career as a small business
One of the biggest misdoings that an agent or broker can commit is to have an employee mentality. Agents and brokers are independent contractors, which means you are in control of your growth. Working on long-term goals instead of quick commissions and investing in relationships by finding great opportunities for your clients will help your reputation as a good agent grow.
If you treat your career as a business, then it’s best to develop a business plan. Take time to study the market, and of course, your customers. Develop skills and tools that will push your business upward and help it grow. Identify what makes you different from other agents and use it to your advantage.
Never underestimate your expenses and overestimate your income
any real estate agents and brokers who experienced immediate success fell into the habit of overspending. Making that first big sale makes them think that there will be more to follow and they’ll always earn whatever money they spend. It can be tempting to spend your hard-earned money but to be able to last in the real estate business, you’ll need to keep your finances in check and keep an eye on your cash flow.
Early in your real estate career, it would help if you learned the habit of creating a list or a spreadsheet of your business and living expenses. Mandatory expenses like rent and transportation expenses should be included, as with other representation/discretionary expenses like coffee at Starbucks and more. Your income goal should cover all your business and personal costs, with a little extra for emergencies and savings.
Forget the myth “If you don’t list, you won’t last”
The typical real estate adage that says agents and brokers have “to list to last” is nothing but a farce. The truth is you can be a successful agent and broker by working with buyers only. The same goes for others who become successful only by listing properties as the seller’s representative. Of course, you can be successful at both.
You can do listings and work with buyers at different points in your career. It’s a great way to add variety to your business income. Having those skillsets will likewise give you the freedom to pursue different strategies depending on the market need.
Treat your clients’ money as if it’s your own
Many agents fall into the trap of selling just for the commission. They market properties that they wouldn’t even think of buying for themselves. While this strategy may be good in the short term, if you’re planning to make real estate a career, you have to be trustworthy.
Build a network of trustful buyers and investors by being genuinely honest and truthful. Advise them on properties that are good for investing and discourage them in areas that are not. Your mantra should be to recommend properties that you would buy if you only have the means to purchase them.
Market the real estate agent, not just the property
Real estate may be all about selling a property, but the customer experience you provide is of equal importance. The added value that you’ve given to the client will spell the difference in the transaction’s success and repeat customers and referral of your business.
Following professional protocols such as dressing appropriately, manner of speaking, and impressive knowledge of the project will likewise be a significant factor in completing the transaction.
Another crucial mistake that many agents succumbed to is neglecting the client once they have received the commission. They focus on other clients that they might acquire rather than nurture a relationship with the present one for client retention. It would be best if you make it a point to invest in relationships with clients, whether or not they have closed a deal with you or not.
Making assumptions on how your real estate career will blossom and where success will come from is another pitfall that agents and brokers should avoid. For instance, never assume that telling your friends and family about your real estate career means you’ll receive a ton of referral clients.
The same goes if you’ve got listed on a website or brochure doesn’t mean you’ll have leads pouring in. If you wish to be an effective agent or broker, you’ll have to work hard and earn the distinction. A significant time in the brokerage office means more opportunities to meet prospects. Always keep in mind that every walk-in is a potential commission for you.
Work on your online presence
With the current shift in marketing trends, you need to keep up with the emerging technology. In this age of social media, you might want to shift your focus to making a solid online presence. Current studies reveal that 50% of buyers found the home that they’ve purchased through the internet.
There are digital platforms that allow you to advertise your real estate skills and experiences. You can also create your website or create a Facebook page to engage prospective clients. There are paid digital advertising campaigns that you can use to acquire more prospective buyers.
The tips listed above came from different successful agents and brokers. Some may not apply to your situation, so treat them as you would treat any other advice, keep the good and throw away the bad.
The real estate industry is a tough business indeed. Apart from our own goals as agents and brokers, we must remember that we have an obligation and a commitment to our clients. That commitment is to serve their need of residing in a community and in a home that is a testimony of their hard work. Moreover, it is a fulfillment of their dreams.
We, at Hoppler, want to raise the real estate industry standards here in the Philippines. That is why we espouse all agents and brokers alike to display and exhibit the values of fairness, honesty, accountability, and transparency in all their dealings.
If you’re looking for properties for your clients or yourself, you might want to check our listings. You’ll be surprised by the great deals we offer for real estate investments.