There is a huge myth regarding real estate commissions. They think agents do the same job. So they choose the cheapest one. They think it is a saving. If the fee is low and the pro charges more, they go cheap. They calculate saving $5,000. This is wrong. The low fee agent costs you the most in the end. The reason? The result is poorer. The gap in the final figure is often far bigger than the small saving.
Use logic. If an agent cannot negotiate their own full fee, will they fight for your money? They don't. They fold instantly. When the heat is on, the discounter says: "Take it." They want volume. The last dollar doesn't matter. Brad Smith negotiates hard. Because we value our skill.
I watch vendors in gawler real estate miss out on huge sums to save pennies. It breaks my heart. It is a one-time event. You need the maximum price. You pay for performance. If the agent gets $20,000 more, even with a higher rate, you are $15,000 better off. Look at the bottom line. Focus on what you keep, not what you pay.
You Get What You Pay For
There is a difference between cheap and good. A cheap suit and a tailored one are worlds apart. Real estate agents gawler are no different. Some just open doors. They upload photos and wait for the phone to ring. That is easy. That is not service.
A skilled agent builds value. We work the database. We style the home. We use psychology. Key point: we negotiate. When a buyer says "$600,000 is my limit", the cheap agent believes them. The pro knows how to get them to $620,000. That increase is your money. That is skill.
Cheap agents need quantity. They must sell many to pay bills. They don't have time to spend time on you. You are a transaction. I focus on quality. So I can dedicate time for you. My commission enables me to serve you best. Don't hire the busy fool.
How Negotiation Skills Impact Your Pocket
It isn't shouting. It is influence. Knowing silence and when to listen. Reading people. Using leverage. A master pushes the price willingly. We use scripts to get the max.
It is learned to get right. It is gold. You employ me for this reason. Not for the sticker. You pay us to talk cash. If your agent is weak, they will cost you. They will suggest you drop your price because they can't get the buyer up. It is easier to crunch a seller than to lift a buyer. Lazy agents crunch sellers. Pros increase offers.
Interview question: "Give me an example of a recent negotiation." Watch them. Should they say "It sold quick," run away. You want to hear "I created a bidding war." Hire that one. I love the deal. That is my promise.
Marketing Budgets: Who Pays For What?
You might hear "no marketing costs." Sounds good? No. Someone pays. If they pay, they spend the minimum. Bottom tier. Bad pictures. You get no signboard. Because they are paying. They want to spend less.
For the best result, you need exposure. Premiere listing on RealEstate.com.au. Drone shots. Floorplans. Facebook boost. It is an investment. But it finds more buyers. More eyes = more offers. Competition = higher price. Being cheap on ads and lose a bidder, the result drops. Poor return.
My strategy is you pay for ads. No corners cut. We do it properly to sell well. Your investment. Light it up. Don't hide it in the dark for a small saving. It creates the result.
The False Promise Of A High Price
Another trick of bad agents lying about value. They promise it is worth millions when it is worth $600k. The goal is to win the job. You sign with them out of greed. Then, it sits there. They blame buyers. They ask for price drops to where it should be. And you sell for $600k after wasting time.
You chose the fake. The honest agent who was accurate was rejected. Be smart. If an agent promises to be true, be suspicious. Prove it. If they can't, it is a lie. I tell the truth. Evidence based. I might be lower, but I deliver. I get more with hard work, not false hope.
Watch out. Real estate is full of sharks. Find the ethical agent. Find the one the hard truth, not fluff. That is the expert who succeeds at the top.
How To Spot A great Agent
Before you sign, ask these questions:
1. How do you negotiate?.
2. Can you show me your track record?.
3. How do you handle multiple offers?.
4. Why further reading page is your fee higher/lower?.
5. How will you find buyers?.
How they respond reveals the truth. If they are unsure, don't hire them. If they are confident, hire them. If they drop their fee as soon as you ask, don't hire them. If they give away their money, they will cost you.
Grill me. Challenge me. I have the answers. I know my value. Pick me. Not because I am cheap, but because I am the best. And the best costs nothing with the final price.