October 2003

“Change or Be Changed”

Years ago, teaching courses around the country under the Certified Residential Specialist (CRS) banner, we would use a prepared text, but add our own personal examples and real life lessons to bring the course to life.

One of the prepared topics was “Change or Be Changed.” It was fun during the 1980’s and 1990’s to watch the country’s best trainers give their spins on what that meant. As a 29 year old in 1980, it meant something different to me then, than it does now, as I have crossed the fifty years marker. Not to mention that I have thirty years of experience to draw upon, plus these three key changes: 1. Expansion of the Internet as an information source and alternative marketing method, 2. The consolidation of real estate companies into a few MEGA-BRANDS and many boutiques, and 3. The expansion of our business, and the number of licensed agents, despite predictions to the contrary.

Let’s take these three key developments one at a time: The Internet has given the little broker the inventory of the MEGA-BRANDS. It has allowed the armchair technologist to “look” like a top producer. And the top agents who have failed to integrate Realtor.com, wheretolive.com, homes.com, and other key sites into their marketing of listings has failed their customers and clients, and themselves. If you don’t have an interactive website with lots of home pictures, resources, and a big “CONTACT ME NOW” button, you’ve missed the boat.

Consolidation of companies has yielded cost savings, fewer logos, and a small increase in professionalism. The sum of the total is still the sum of the individual agents. Branding alone won’t change quality. However there now is a better platform for change and training of agents than ever before. RE/MAX has led the way, Coldwell Banker is right behind. Strong independents feel the challenge, too. What will we do with this new organization? Low interest rates for buyers have created a buying panic which has obviated the urgent necessity for innovation and service improvements, so far. We shall see what is ahead.

Expansion of our numbers in real estate has been fueled by layoffs, compression in the private sector, and a widely perceived “hot market” for real estate, due to low interest rates and moderate unemployment. As interest rates rise, we’ll see how many of the last 100,000 agents to be added can prosper. You’ve heard there is strength in numbers, but which ones?