real estate auction strategy

The number one attribute agents need in 2019

Profile headshot of Justin Nickerson

12 Mar, 2019

By Justin Nickerson

In the years gone by, successful real estate agents were usually the ones who consistently worked the hardest while also creating and nurturing networks and relationships.

While these factors are still barometers of success today, in 2019, adaptability is also one of the most important attributes if you ask me.

That’s because there are so many changes in the market – for buyers, sellers and agents – that makes being able to adapt crucial.

Disruption might seem like a term that is bandied about too much these days, but there is no doubt that it is alive and well in the real estate sector.

We are seeing new ways of doing business all the time, which has the potential to leave some agents behind if they fail to adapt quickly enough.

Now when I say adaptability, I mean having an open mind and a willingness to embrace change.

Plus, I don’t just mean adapting to new business practices but also to changing market conditions.

An example of this was a recent auction campaign for units in Brisbane where the selling agent adapted to the market as well as the lending conditions.

He knew that there was demand for these types of dwellings, but many buyers were having issues securing finance, so the auction terms and conditions were altered to include a finance clause.

The agent knew that auctions were the best-selling technique, but he had to think laterally to attract more potential buyers.

Of course, having a cash unconditional contract is one of the key benefits of auctions, however, in this instance, it made more sense to insert a finance clause into the contract as it would likely increase demand and therefore secure a successful result.

New thinking needed

When it comes down to it, the saying, “this is the way we’ve always done things” doesn’t really have any place in the real estate sector anymore.

The pace of change can sometimes make you feel a little breathless, but you don’t have to change everything you do – just the things that will improve your business in light of the new world order, so to speak.

Another example of this was a selling agent recently who wouldn’t budge from their agency’s historical timeframe of auctions at noon even though it was clearly not the best time of the day – especially in the middle of summer.

I questioned this mindset because I was interested in whether there was any research behind sticking to seemingly arbitrary auction time.

There wasn’t because it was just what they had always done.

Now, I’m not saying that long-term systems are not valuable, however, they must be reviewed regularly to make sure they are still relevant to achieve the best outcomes for clients.

Having an open mind and willingness to adapt or change can be as simple as recognising that there may be better ways of doing things, which can involve some experimentation to determine where that is indeed the case.

It used to be common practice for a 10 per cent deposit to be required when buying at auction, but over the years that has changed to be about five per cent of the sale price, or a fixed fee, because it makes it easier for buyers to have those funds available on auction day.

Ditto, paying for a deposit by using an electronic funds transfer is now very common because it’s simple and it’s fast.

There is no doubt that the world is changing quickly, with the way that real estate is bought and sold not immune.

In fact, rather randomly, even the way people get married is changing!

Disclosing that I watch Married at First Sight, it seems to me that the couples who are prepared to adapt are the ones who will have the best chance of making it work.

However, those who stubbornly stick to a set of rules or attributes that their partner must somehow conform to will likely end in failure because of their inability to embrace change.

It might seem like an odd comparison – and perhaps it is – but our working and personal lives are forever changing.

The most successful people in life, and perhaps love, are the ones who aren’t afraid of change because they recognise it as an opportunity rather than a threat.