I’m seeing a lot of articles lately about websites, technologies, and companies looking to replace the real estate agent. From Zillow Instant Offers and Open Listings, everyone is trying to disrupt the industry. Here are my thoughts. Feel free to add me on Snapchat / Instagram: GPStephan
Honestly, as a buyer and investor myself, the investor in me would love for there to be a streamlined process between buying and selling. I just wish everyone can level with each other, shake hands on a price over 5 minutes of negotiation, and call it a day, where both parties can be happy. But realistically, everything that’s rolled out so far won’t make much of an impact and the career of being a real estate agent will be thriving for a very long time. And the reason why is because real estate is often bought with emotion, not with logic.
Buying a house is an emotionally-driven decision. It’s one of the most expensive purchases someone will make in their lifetime, it’s where they’re going every night, it’s where they’re sleeping, it’s where they’ll create memories, it’s where they’ll raise a family and grow old. As a seller, your home is an extension of you - you spent your life’s earnings on this place, you created memories here, this house is YOU. And technology can’t effectively articulate emotion.
Half of what I do is act as a therapist. I’m someone that people bounce ideas off of, I share experiences, stories, and opinions. I’m someone they can trust for advice and techniques to get them the highest price. And it’s important to objectively look at how someone is feeling and determine how you can best get them what they want.
As a real estate agent, you need to understand your value. Your value comes in the fact that buying and selling real estate is emotional and you need to learn to handle that to benefit your client. A good agent can make a 10%+ different in the selling price based off their techniques, photographs, selling strategy, etc. I’ve seen random no-name agents just kill deals because they have no idea what they’re doing. Then their sellers are left wondering why the property never sold. Sometimes it’s mis-pricing it, something it’s lack of advertising, sometimes it’s lack of pictures, sometimes the agent just isn’t available to show it.
And sometimes you have to have your client move away from the emotional side when things become too difficult, and help guide them to logical. Sometimes clients get too logical and focused on the numbers to the point they forget this is the place where they’re going to be spending the next 20 years of their life. Understanding the ups and downs is an advantage real estate agents have over programs and websites. It’s less about being persuasive as it is giving an objective thought and making sure your client understands all angles before making a decision.
But WILL this take away from our business? I doubt it. It’s all about effectively communicating your value and why you’re worth what you charge. If you can do that, you won’t have any problem. Because the truth is, a good agent is one who saves you more money than they cost.
For business inquiries, you can reach me at GrahamStephanBusiness @gmail.com
Suggested reading:
The Millionaire Real Estate Agent: http://goo.gl/TPTSVC
Your money or your life: https://goo.gl/fmlaJR
The Millionaire Real Estate Investor: https://goo.gl/sV9xtl
How to Win Friends and Influence People: https://goo.gl/1f3Meq
Think and grow rich: https://goo.gl/SSKlyu
Awaken the giant within: https://goo.gl/niIAEI
The Book on Rental Property Investing: https://goo.gl/qtJqFq
Honestly, as a buyer and investor myself, the investor in me would love for there to be a streamlined process between buying and selling. I just wish everyone can level with each other, shake hands on a price over 5 minutes of negotiation, and call it a day, where both parties can be happy. But realistically, everything that’s rolled out so far won’t make much of an impact and the career of being a real estate agent will be thriving for a very long time. And the reason why is because real estate is often bought with emotion, not with logic.
Buying a house is an emotionally-driven decision. It’s one of the most expensive purchases someone will make in their lifetime, it’s where they’re going every night, it’s where they’re sleeping, it’s where they’ll create memories, it’s where they’ll raise a family and grow old. As a seller, your home is an extension of you - you spent your life’s earnings on this place, you created memories here, this house is YOU. And technology can’t effectively articulate emotion.
Half of what I do is act as a therapist. I’m someone that people bounce ideas off of, I share experiences, stories, and opinions. I’m someone they can trust for advice and techniques to get them the highest price. And it’s important to objectively look at how someone is feeling and determine how you can best get them what they want.
As a real estate agent, you need to understand your value. Your value comes in the fact that buying and selling real estate is emotional and you need to learn to handle that to benefit your client. A good agent can make a 10%+ different in the selling price based off their techniques, photographs, selling strategy, etc. I’ve seen random no-name agents just kill deals because they have no idea what they’re doing. Then their sellers are left wondering why the property never sold. Sometimes it’s mis-pricing it, something it’s lack of advertising, sometimes it’s lack of pictures, sometimes the agent just isn’t available to show it.
And sometimes you have to have your client move away from the emotional side when things become too difficult, and help guide them to logical. Sometimes clients get too logical and focused on the numbers to the point they forget this is the place where they’re going to be spending the next 20 years of their life. Understanding the ups and downs is an advantage real estate agents have over programs and websites. It’s less about being persuasive as it is giving an objective thought and making sure your client understands all angles before making a decision.
But WILL this take away from our business? I doubt it. It’s all about effectively communicating your value and why you’re worth what you charge. If you can do that, you won’t have any problem. Because the truth is, a good agent is one who saves you more money than they cost.
For business inquiries, you can reach me at GrahamStephanBusiness @gmail.com
Suggested reading:
The Millionaire Real Estate Agent: http://goo.gl/TPTSVC
Your money or your life: https://goo.gl/fmlaJR
The Millionaire Real Estate Investor: https://goo.gl/sV9xtl
How to Win Friends and Influence People: https://goo.gl/1f3Meq
Think and grow rich: https://goo.gl/SSKlyu
Awaken the giant within: https://goo.gl/niIAEI
The Book on Rental Property Investing: https://goo.gl/qtJqFq
buy OPEN stock
2021 appreciates 2017 Graham ❤
I wonder if real estate agents are actually into what they do. Or in it for the money.
What do you think now in 2021?
“SunCor Financial MPI review” "
Especially now since the pandemic and now people are afraid of being near people.. which actually seems strategic if you ask me.
Hi Graham, how do you feel about this now in 2021? Just now. finding this video. 3 years later haha
Cool
You are so wrong. Agents will be replaced eventually.
Absolutely amazing insight! Thank you, Graham!
think im gonna puke
Realtors in person are always so mean, so maybe i should rely on a website 🤷♀️
Graham the man !!!!
I work in data science and was curious to hear your take on how data works into real estate investing. Glad to find this video! Do you use any tools or leverage data in any way to help you invest? Any plans to build a data team? 😀
I hate being an electrician (or any job that does not have me be my own boss.)
Going to become a realtor.
Don't care how hard it will be the first years, I rather do that then spend 80% of my time to someone else.
I don't think so have you guys looked at the wholesale Market everybody and their mom is getting into it good luck of being a real estate agent
I want human interaction. But I don’t need you for it!! I’m an adult that can negotiate prices! Will these sites take away your business. Hell yeah!! Realtors are mob members and people will start waking up to see that 6% is a scam!!
Hahaha!! “Learn this lesson or you will lose your business to online sites” yeah agents!! Keep tricking clients and yourselves that you’re worth 6%!!
If what u day is true than these companies should not exist and if they did should not be making any profit nor have much business…
I find the opposite is true
I agree. And under the same logic, I think the typical manufacturer certified dealership model will outlast carvana, etc.
I have been a real estate agent for 20 years, I personally handle every step of the transaction. I hate the "team" approach.
Agents are way over paid. In this day and age its silly. 6 percent of an expensive house?? Come on. Also AI will do away with them.
People said the same thing years ago about travel agents!
There is no way I'm giving someone 6% of the value of my home. Agents will have to figure out how to be involved in more sales with smaller commissions. I can see the need of an agent for a long distance purchase but beyond that….All the information is out there.
Like the video but we have to stop using scare tactics that arent backed in data, its part of why reators come off a little sleezey. For example, saying you might overpay for a house, the commission pays for itself, etc. Economists have demonstrated the opposite is true. Realtors quite literally dont sell homes for more than FSBOs. NAR published a study and was caught lying, saying realtors sell homes for 13% more but it turned out they used mobile homes for the FSBO sample, and single family for the agent assisted sample. Lol way to improve the image. Als, I constantly encounter Realtors who underprice, and encourage their buyer to pay full price if they want the house. Real estate is not an industry of cerebral, well trained professionals. For gods sake it takes more training to become a hair dresser. Real estate is an industry of below average everything: IQs, marketing accumen, communication, economics savvy, etc. Realtors cant calculate absorption, but hey, if they were smarter they wouldnt be reatltors. Lastly people arent saying there is no value in a realtor, but its very little value relative to 5 and 6 percent commissions. Lets pay people what they deserve. And people are growing tired of the obscurantism when they ask why a 500 k home has to pay twice the commission as a 250 k home. There isnt double the paperwork, there isnt double the steps or marketing spend. Lets get honest here. People are calling for a reformation of the industry. This isnt 1905 where people run documents back and forth to the courthouse, and dont have fax mavhines or email or internet.
obsolete for sure. sellers dont want to pay 6%.
I think it's definitely a dying profession.. When I first started looking into houses, the first thing I asked myself was why do I need an agent? And then I realized, I don't lol. It's like car salesman. Most useless job ever. But o think it's perfect for people who don't really get how stuff works, or simply put but not to insult, for people with lower IQ. And let's be honest the general public doesn't understand shit, they buy into whatever you say.
Hi Mr. Im from Philippines, i want to know why its very hard for me to sell real estate. I try to sell in a Mall before i sell beauty products from Israel, We have a kiosk in mall. Then my 2nd job i sell membership cards door to door or direct selling in a field. So i can say that i know how to sell but when it comes with real estate i feel like its so much high price compare to products that i sell before and i feel like its very hard to find a buyer What advice can u give me to overcome this mindset ? Thanks