The Potato Incident.

When Dan Quayle mistakenly corrected a 12 year old on how to spell the word ‘potato’ in front of the global media it became crystal clear he wasn’t the right person to lead the free world.

Let’s face it, the real estate profession has long suffered a terrible reputation with the general public…I would put this down to the surprisingly low barriers of entry to be qualified to be involved in significant financial transactions.

When the market boomed in the early 2000’s everyone’s uncle and auntie scrambled to join the gold rush and declared themselves real estate experts…the result was an army of inexperienced hackers.

In more recent times the influx of newbies have decided to become buyers agents. They are popping up everywhere (I will press pause here and say that there are some excellent buyers agents, I have personally used one and was very satisfied with the arrangement).

But…

It’s astounding to me how many people have abandoned their dreams of being a personal trainers, yoga instructors and/or a life coach to become a buyers agent. It would seem if you have a car and a watch you are fit to represent. How is it that someone in their 20’s that has never bought a property can advise someone on a real estate decision? I can’t answer that for you.

Just when you thought the real estate wilderness couldn’t be more over represented a new species has been discovered…the vendors advocate.

A vendors advocate is someone who represents the owner to deal with a selling agent. A middle man to deal with the middle man...in most cases it's just absurd.

The problem with this interjection is that the vendors advocate takes up to 30% of the chosen agents commission. This means that the 'represented owner' either ends up with an agent who has been heavily discounted (and disgruntled)  or they pay more to finance the cook laden kitchen.

Here is the rub, many of the best selling agents won't deal with these advocates meaning that the deliverable to the owner is heavily compromised. This is not good for the end user.

Education is key. Real estate professionals should have to study marketing, ethics, finance and probably and most importantly psychology. Sadly, most training within the industry is only based on competitive tactics and the hard sell.

Before I go I just want to confirm that no yoga instructors, personal trainers, life coaches or millennials were harmed in the writing of this newsletter.

Smashing week team, 7 sales in Mosman in the last 6 days including a sizzling street record on Cowles Road.

Until next week,

David Murphy