We all know that there are good and bad in every industry. The problem in real estate is that we all pretty much look the same. We all wear dark suits, drive nice cars, and say nice things. On the surface we all seem the same, but the results can differ dramatically.
The introduction in Neil Jenman’s book, Real Estate Mistakes, tells the story of Walter who decided to sell his home in Sydney’s Hills District in 1993, he made a big mistake.
He contacted a licensed agent who was a member of the real estate Institute and whose office was part of a large real estate network. The sort of agent he could be forgiven for trusting on ‘face-value’.
The agent sold Walter’s home for $285,000 to a ‘businessman’ who was the father of one of the agent’s salespeople. Walter’s home was then re-sold for $420,000. The same day. Not a month later, or a year or two later, but the same day.
Walter was ‘set-up’. He lost $135,000.
Most home-sellers rarely lose as much as Walter. But unlike most home-sellers, Walter had a disadvantage. He suffered from Alzheimer’s disease and lived in a nursing home.
Many of us who are of sound mind and body could be tempted to think, “Well that wont happen to me”. And I hope it doesn’t, but there are many ways to lose in real estate.
On another occasion my friend’s mother decided to sell her home. I figured I was a shoe in for the listing. After all I’d known her for over 20 years. When she decided to hire the other agent I was mortified. She just wanted to ‘keep business separate’. I was worried that she wouldn’t be looked after.
Everything was fine until the offer came. Then instead of working for the person that was paying her, the agent turned and worked for the buyer.
“She was like my best mate telling me how nice my home was but once the offer came in, less than I was asking, she sided with the buyer and said the fences needed doing and the house was old and needed renovation. You wouldn’t believe it, on and on she went. Eventually I just couldn’t be bothered anymore, I just wanted it sold.”
The home she loved so much for so many years was let go for $39,000 less than the asking price. I feel terrible that I was powerless to stop this from happening.
Real estate is so simple, find a seller, find a buyer, and put them together. Good agents work hard to protect their sellers and get them the best possible market price. Good agents also work hard to find their buyer the right home, the one that makes them feel good when they walk in. When that happens most good buyers are happy to pay a fair price.
John & Maureen, a lovely couple, who wanted to sell their family home of 12 years in Mermaid Waters recently made a mistake. They met a young enthusiastic real estate sales-lady working for one of the biggest real estate offices on the Gold Coast.
The agent pushed the benefits of advertising. They loved their home and knew it would sell quickly for a great price if it was well marketed. The lady said it would only cost $3,500 in upfront advertising costs plus another $500 for the auctioneer.
Guess what? No bids. No sale.
Four thousand dollars is a lot of money. Money that was paid out with expectation of a result. In most areas of business if someone spends $4,000 and receives nothing in return they call it for what it is, a rip off!
For too long in real estate rip off’s have become the norm. Well, not here at HART’s Real Estate. We think real estate agents should be the marketing experts not the consumers, so we put our own marketing money on the line. Our service is “Free till Sold” and we have an iron clad Service Guarantee to ensure your safety.
To have Jim Hart call you and chat about how to sell safely call 0433 127 127 now.