7 figure Attraction Agent

Real Estate Market Wrap 🗞️ My RANT on Buyer's Agents

• Tom Panos - Real Estate Coach & Trainer

Share episode

Send us a text

Overall, the supply of listings is outstripping the increase in buyers.

 My Clearance Rate: 4/9 SOLD. 

They were all a grind and it will be like that until Christmas.

What was it like in your market? Comment below 👇


Speaker 1:

bragging about I'll sold in four days. Get real, the owner's lived in it for 25 years and you want to sit there and brag? I sold it in four days. They don't care that you sold it in four days. People care about getting as much money for their house because it's probably the biggest asset that they own and 95% of their wealth is probably tied in that property, and agents think that they've got bragging rights and flexing muscle. I sold it in four days. No man, what you should be doing is saying, hey, the average price is in our area in this street is 2.1 and I sold it for 2.2. We got $100,000 more. That is probably more useful than raving about the fact that you actually got paid in such a short period of time.

Speaker 1:

Another Saturday of real estate auctions in spring in a marketplace that has very quickly moved from a seller's market to a buyer's market, all for one reason demand and supply. The supply of listings right now is outstripping the increase in buyers and it's quite easy to explain what's going on. It's quite easy to explain what's going on. Buyers just say not too much. And then they say there's another one down the road. You see, in winter there wasn't one down the road, but in spring there is and there's more coming. So if you're a vendor that's lucky enough in a marketplace I'm not talking about Perth, because that marketplace is still super strong and so is parts of Brisbane, but for most of Australia when you've got an oversupply of listings and an undersupply of buyers, you do the deal even if you're 20 grand, 30 grand short. And that's why Albo pulled his house off the market for auction today. It was supposed to go to auction, supposed to go to auction, but it's not going to auction. And the reason it didn't go to auction is it wasn't going to get five or six people, contrary to what a lot of people are saying. A lot of people are saying Albo pulled his house off the auction because he's changing his mind about getting rid of negative gearing and he's going to keep his property. I think that's rubbish. I think the only reason he's pulled off the property this townhouse that he's got.

Speaker 1:

And for the record, do you know that when I was listing and selling real estate, when I owned my own real estate company, me and my business partner, we sold Dalbo's house? That was before he was prime minister. He was married to another politician. Her name was Margaret. I think I still remember them both. They were both very, very young at the time. He had an earring. I remember that.

Speaker 1:

But today opened up my eyes to something that I really wish I had not seen. And I'm probably going to get a few people going to throw some snickering remarks to me by SMS. They won't do it online, they'll do it to me privately, because I'm talking about a subject that is obviously happening right, because I've now got validation and proof that it happens. And it all got inspired because I saw a buyer not wanting to give their details to an agent at an open home. And then it ends up being that she said that she's just fed up with buyers agents ringing her up, that she's never contacted, and I thought hello. And then I've done a little bit of research and there are real estate agents that, as a matter of process, are handing out that, as a matter of process, are handing out their buyer registers, their open house registers, their buyers overall, to a buyer's agent or to buyer's agents and saying to them go for it, go for it If you sell them a house, if you sell them a house, if you sell them a house. What I'll do is, if you, I'll come down there. If you set that sorry, that was the real estate agent I think they're going to do a deal right. Hey, lewis, if you sell them a house, flick me a 20 referral fee, or if they can negotiate even further. That's what they're doing. That's what they're doing Now.

Speaker 1:

Firstly, mate, if you're going to just hand out your open house list to a buyer's agent because you don't want to actually put the time and effort to service the buyers, and then you're going to go off and pay a call center in Manila to do your phone calls, and then you're going to hire an admin person to do all of it, what do you actually do? Then you're going to hire an admin person to do all of it. What do you actually do? What is the agent actually going to do? What? Just go to the listing presentation, tell the owner give me your property, and then just go off and outsource everything. What are you actually doing? Anyway, I won't even start on that subject. That's why real estate's the highest paid hard work and it's the lowest paid easy work. And that's why, if you've got someone that's got a little bit of grunt in them, a little bit of good attitude, a little bit of hunger and a decent work ethic. The sky's the limit. You'll make more than Albo. You'll make more money than Albanese in real estate if you're prepared to get in early, work hard and stay later.

Speaker 1:

But now what we're seeing is real estate agents are handing out their open houses to the buyers agents. Go for it. Service them your damn self. Open house list to the buyer's agents Go for it. Service them your damn self. But anyway, I want to touch on this subject. What happens? You've got a vendor that is spending money on vendor paid advertising to market their property. It's creating lists of buyers. Those lists of buyers are then by some agents being given to buyer's agents who go for it. And then the buyer's agents are told if you sell anything, we'll get a referral fee.

Speaker 1:

Now what I'm trying to work out is does the actual client know that the other agent is getting a percentage? Has got skin in the game. Number one, number two, and you saw that story on Four Corners those of you that follow real estate earlier on this year. No name calling here, but what you've got to really and I don't have all the detail on that story because there's always two sides of a story. But I've got to tell you, I have to tell you listen to me very carefully with the firm that they go off and buy a property from without actually telling the buyer that they're representing oh, letting you know that this home that we've bought, the owner of that real estate company is actually a shareholder in my buyer's agency. If that sort of stuff is happening, mate, you got to tell the buyers I mean this buyer, by the way, this buyers, and don't get me wrong, I've got to tell you.

Speaker 1:

Please, not for one minute, think that I don't believe that buyers agents are good people and buyers agents serve a purpose. They do. But you got two types. You got the good ones and you got some bad eggs out there. 100%, you got some bad eggs out there. The good ones, man, they'll save you time. They have intellectual knowledge. The good ones, man, they'll save you time. They have intellectual knowledge. They'll actually go off and they will have contact with a real estate agent that might actually put them onto off-market opportunities.

Speaker 1:

But that's another trick buyers agents are using. They ring up all the real estate agents and they say, oh, will you give me off markets? You got any off markets? Of course the agents give them to them. Then they ring up a buyer and they'll say, hey, listen, I've got access to off market listings. If you sign up with me, I'll be able to take you through this property. Just for your own record, if you're a buyer, you can actually get access to off markets as well without needing a buyer's agent.

Speaker 1:

A good buyer's agent is going to deliver value to you. A good buyer's agent is going to save you time. A good buyer's agent is going to maybe help you do things that you don't want to do. But you need to also understand the way buyer's agents get paid is spending your money as a buyer, not theirs, and a buyer's agent would rather sell you a property in a day than in 50 days. They'd rather get paid. You see, they get paid the same whether they sell in a day or 50 days. So just be very mindful of the equation and how it actually works. Right, a good buyer's agent is going to go off and try and get it to you at a good buy.

Speaker 1:

I got to tell you I love dealing with buyer's agents. Right, I love dealing with buyer's agents because I actually find that often it's a lot easier to put a deal together with a buyer's agent than what it is with a buyer. Anyway, you get the gist of what I'm saying. But for God's sake, if you're a real estate agent, you can't outsource everything, right? What are you going going to do? Go to the gym and outsource your stomach crunches as well and tell them. Tell them, can you do those? I'd rather you do the work and me get the six pack. So, team, let's talk about the results.

Speaker 1:

Today it wasn't a great day. That's why I've delayed giving you my results. Four out of nine and nothing flash. None of those four that got sold was anything flash. It was all a grind, it's all a hustle and it's going to be like that till Christmas time. It's as simple as that, because there's a lot of stock on and there's more stock coming. Anyway, team, enough's enough. I am going to finish off. I did nine conferences. I did about 40 appointments this week and I'm back. I've been on planes everywhere. I did about 40 appointments this week and I'm back. I've been on planes everywhere. I've been in Queensland, I've been in Melbourne, I've been in Mildura and I'm heading back to Melbourne on Monday again, and then Melbourne all week, and then Brisbane. I've got another big conference, platform B, that I'm doing with Bernard Desmond, and I've got heaps of other conferences this week that are to private companies. That's it. That's a sign to end the rant.