Blog : Brokers

Of Agents and Inuendos

Of Agents and Inuendos

This is serious. You’ve been having the pain in your knee for quite some time. It bothered you during your junior year, but what could really, truly bother you then? Some tylenol and a creatine laced protein shake is all you needed to make that slight twinge of pain fade into the background. It was the championship game, after all. The pain now is different than the pain then. It’s more permanent. More achy. Less a twang of pain and more a deep constant, like something has taken hold in that joint that cannot and will not give up.  You wait nervously in the doctor’s office. The smell of the receptionists microwaved lunch turns your stomach. Your knee is getting worse by the minute.

The doctor is friendly, you found him online. He has a billboard on the highway near the Walmart,  “satisfaction guaranteed”. The guarantee is figurative,  because there can be no guarantee with this sort of work. The knee doesn’t react the same each time. The doctor knows you know this, but his insurance company remains steadfast in their demands that he remove the writing from the billboard. He will, he says, but not until the contract is up. To change it now would be costly, and the state is behind in their payments for the elderly care he provides, and so things are tight.  Your knee offers some financial redemption. You hope he looks as he does on the billboard. Capable, confident, full of guarantees.

He enters the room. He’s confident. His office, he says, is among the best in the entire country. He’s number one in his group. The group over which he reigns is unclear, but he’s number one, that he’s sure of.  He’s been doing this for a while, years, in fact. How many is left out.  He does this all the time he says as he looks over the file. Nothing to be worried about. His knee is bouncing, nervously.  Your knee aches. He asks what the problem is. You tell him it’s your knee. He glances towards your leg. I see, he murmurs while furiously scribbling on his notepad, nodding the whole time as if asking himself questions and answering them quietly. Now let’s have a look at that knee.

His chair wheels over to you and he picks up your leg and rests it on his lap. His fingers prodding your achilles, pushing and waiting for your reaction.  He turns your ankle to the left and to the right, no reaction. He pushes your toes away from your heel, up and down, back and forth, all the while watching your face for any sign of discomfort. There is none. Satisfied with his work, he wheels away and looks toward his clipboard.  Good news, he says. It appears as though your knee is, as a point of fact, 100% healthy.

This may seem to be an absurd way to contrast a doctor with a Realtor, but it’s all I have for you this morning.  This market has me concerned, as buyers and sellers alike flock to agents who don’t know the difference between an ankle and a knee. Agents who see pictures of sunsets and ask if the house is on a shore of the lake that would never, under any circumstance, offer a sunset view. Agents who drive to listings and call for directions. Agents who ask if association frontage is private. Agents who don’t know the difference between a slip and a private pier. Agents who show on Powers Lake on Sunday and Geneva Lake on Monday and condominiums in Whitewater on Wednesday.  Incompetent, uneducated agents who find success because the work for a company that has some credibility.  This hot market has been a breeding ground for inexperienced agents, and sadly,  the market is falling for it.

In that, there is a real estate story.  Consumers see a brokerage, and they think the brokerage to be good. Or at least capable. They then approach the brokerage, looking for an agent. The assumption is that the agent, if aligned with a  large brokerage, is somehow an expert in their field. I would suggest to you that expert status is not attained by aligning oneself with a large firm. Now, if you’re in search of an attorney and you find one who is a partner at Kirkland and Ellis, you can reasonably assume that this partner is indeed a capable and competent attorney. But that’s because there’s a barrier to entry to such a firm. Only the best of the best gain membership. The barrier to entry to real estate is the ability to robustly fog a mirror, and if the test is completed without much difficulty, the agent is awarded a set of business cards and a gold jacket. You, the consumer, wander into the office the next day looking for a lake house. This is all a terrible, terrible mistake. Thankfully, there is a way to avoid the mistake. Looking for Lake Geneva real estate? Look with me.

 

About Your Agent

About Your Agent

The business of listing homes is a curious one. If we were going about this business of finding a broker and an agent, we’d assume we’d look at our options objectively, hoping to secure the best agent to represent our property. But this isn’t what happens, because real estate isn’t really about results, it’s about friendships and loyalties even when those friendships and loyalties hurt the chance of a sale. I can’t list with this guy because he’s the best, I have to list with this guy because he’s also my son’s baseball coach and my cousin.  Objectivity is for more serious matters, not for real estate, or so it seems.

Every homeowner who is considering a sale knows how to go about searching for the agent that will represent the subject property. It’s typically a mix of internet searching, newspaper perusing, and lastly, checking the refrigerator, assuming it’s not stainless, to see who sent the most recent football calendar. Then, once the list is compiled, it’s time to interview these assorted agents. Some are from large offices, some small offices, some work out of Starbucks, mostly. Some are successful some are sweet, some are your son’s baseball coach who is also your cousin but we know he’s a second cousin, so that’s something to take into consideration.

Once the interviews occur, some agents are smug, some smell, others show up too early or too late. But there’s one agent who showed up on time and had a nice little suit on, and he spoke politely and he drove a car that didn’t have his name tattooed on the passenger and driver side doors. His name was Frank, and he seemed to be a good agent. His firm has some signs around the area, so you know he must be competent. Frank has a nice folder and some really cool brochures with incredible pie charts, also graphs. He has a separate folder, bound with rings, titled “HOW TO SELL YOUR HOUSE”. His picture is on the bottom left of the cover. He’s the one.

He hasn’t necessarily sold a lot of homes in your neighborhood, nor has he sold all that many outside of your neighborhood. But he returns your calls very quickly and he says yes ma’am and no ma’am and that’s enough. He’s hired and the sign goes up, Frank is the man. Your man. The best man, because he wasn’t smug and he wasn’t rude and he wasn’t really upset that your price was super high. He’s a good man, Frank. Things are looking up.

As a homeowner, you’ve done your homework. You vetted his company, you met him in person. You asked him questions. You determined he wasn’t a derelict. You’ve read his blog, “101 THINGS TO DO BEFORE YOUR FIRST OPEN HOUSE”. Frank, for all of these clues, seems to be a fine choice. But there’s one thing in choosing a listing agent that you haven’t yet considered. In fact, no one considers it, yet it’s the single most important factor in choosing representation. Do the other agents think your agent is going to sell your house?

Strange that this would be the question that matters most, right? Not really. It’s not something people talk about, and it’s not written on park benches. But the most important thing in choosing an agent is determining if your agent has credibility amongst the other agents in the market. Note I didn’t say that you agent had to be adored by the other agents, because that’s not it at all. Of course your agent shouldn’t be perceived as one who is difficult to work with, even there are plenty of agents like that. But this is about whether or not other agents think your agent is an effective agent.

The reason this matters is in terms of how quickly other agents will motivate their buyers to see your house. How quickly will they write an offer?  When the listing agent tells the buying agent that there are other interested parties, is your agent one who can be trusted? Not by you, remember, but by the other agents. This is the most important aspect of choosing a listing agent.  Hire the agent who the other agents worry about. Hire the one they know to be effective and clean. Does the market perceive your agent as an agent who is supremely capable of selling your home quickly? If so, hire that guy, or gal. If not,  don’t hire the guy you know because he’s your kids soccer coach. He might not even be your real cousin.