Use Data to Show Expertise and Set Expectations

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If the real estate business was easy, everyone would succeed at it. The most challenging side of the business, probably, is dealing with the human aspect. Our clients expect to profit off of their real estate transactions and they take it very personally when they lose. This is the dynamic that makes our industry so challenging when markets shift and correct. Understand, though, it is not our fault and we should not internalize their stress.

As a veteran broker of the Great Recession of 2007 to 2011, I had to navigate a market where there were no buyers and where sellers thought their property was worth 20 to 30% more than what the market would support. The bottom had literally dropped out of the real estate market. Months of supply was 20 to 30 months. Most sellers and buyers ended up renting. We survived off of rentals, short sales, and foreclosures. The sales transactions that were there were relatively rare and quite difficult.

The market finally gained pace again in 2013. But leading up to that time, we learned a lot about what the term 'being a broker' meant. It took skill and effort. And it took grit.

Compared with January 2013 to July 2018, today’s market conditions are challenging. Since last summer, our market has been correcting at different levels, but we are still at only 5 to 7 months of inventory.

I’ve had a lot of conversations recently with our agents about how to best approach their clients for a price adjustment and how to navigate those difficult conversations.

The truth of the matter is that we should be having these conversations right up front when we take a listing or start a search for a buyer.

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