All Forum Posts by: Will Mann

I think this can go either way based on so many variables. However, if you choose to go with a realtor, make sure you do research and interview to find a good one! A good realtor can be a great asset and definitely be worth the cost in commissions, but bad ones can potentially crush profits. Just like any profession, some are lazy, inexperienced, unethical, etc. so do full interviews! If you find a good one, keep them on your team! Here's a real life example that I experienced... I met with a realtor who wanted to list my property at 273k. I knew this was low and that all she did was look at a few comps and match price per sq ft. Luckily, I knew the area very well to know this was low. I ended up listing the home and getting it under contract in 2 weeks for 290k just paying 3% buyers agent commission. So, let's do the math...I gained 3% (a little over 8k) plus 17k in profit for a total of over 25k in extra profits! Now, this was a hot area and I knew it would sell. Not every case is like this.

Good points @Sean Carroll. To add to that, a quick way is to look at what has been selling in the past 3-6 months in a given area. Are the sold prices going up for comparable properties? Going down? How long are they "on the market"?

It's also important to stay up with your area's job market as well. Is there a big company moving their headquarters to your area? Is there a factory being put outside of town? Many of these can have big impacts on home values and can tell you what types of homes to invest in. For example, will these jobs include primarily young families looking for a starter home with the white picket fence, or will they be made up of fresh out of college renters? This and other info like new housing developments going up can help you keep your finger on the pulse of where the market is and where it's going.

Hello all, 

Has anyone found success incentivizing referrals. I don't mean bird dogs or wholesalers, but for contacts or other networks you may have. If they are not licensed real estate agents, is there a way to legally incentivize them? Would this be possible if the referral incentive was not cash and instead was a gift of some sort?

I feel like I'm stretching it a bit here, but it never hurts to ask!

Good points @Jay Hinrichs. In the end, the strong professionals never knee jerk react to the times.  They know where the value is and only adapt when needed. But, when they need to, they are willing and able to make the change. Just in reading your comments, you strike me as someone who will find a way to be successful regardless of whats changing. It might just take a new form of thinking, better use of newer technology, or in some cases, going back to the old ways to make it happen!

I think it's not set to go one way or the other. the fact is competition is great and will end with what's best for the consumer. I do think sites like Zillow, as well as the fact there is just so much more information at our finger tips, will hurt Real Estate Agents, but not the good ones. The good ones know their markets inside and out and will provide a great worth every bit of the commission. However, I believe lower quality agents will struggle in the future more than ever if they don't learn and adapt. They can still provide some value, but not enough for people to give up 3-6% consistently. Right now, I'm sure there's some 20 year old scheming in his mom's basement for the next big idea that will wipe out Zillow and give RE Agents a true run for their money (i.e. Netflix to Blockbuster). So, everyone should always be on their toes and ready to adapt!