Vendor advocates sit between the real estate agent and the property owner. They manage the relationship between both parties and make sure the real estate agents behave ethically and in the best interest of their clients.
While real estate agencies look wise and charming on the outside, generally speaking, have a poor reputation of using common clichés and tactics to achieve a property sale.The public want to believe they are getting a fair deal and are happy to pay for a second opinion from the likes of a buyers agent or vendor advocate.
What do real estate agents do wrong?
Real estate agents are a product of a harsh, high-pressure environment.
They’re paid on a commission only basis that takes months to generate a pay cheque.
The problem with this is that it’s not un-common for an agent to generate no income for a month’s work if they haven’t closed any deals. The bad part here is many agents work long and late hours, usually 6 days per week.
Naturally, this puts real estate agents in a high-pressure situation to make sales quickly. Hence, a lot of high-pressure tactics real estate agents use are necessary to survive and remain in the industry.
According to the Australian Bureau of Statistics, the average employee turnover rate in Real Estate annually is 28.3%. To put this into perspective, this is 10% higher than the national average and second only to Hospitality and Food Services which has an annual turnover of 40.3%.
How can a vendor advocate help the scenario?
When selling a home, achieving the best result often requires a number of right moves. From real estate agent selection, advertising, managing buyer’s expectations over a selling campaign and negotiating a close.
A vendor advocate has been through the process hundreds of times when they were selling agents, hence apply the best practice when managing a selling campaign. For instance:
Choosing the best agent: An experienced agent that has a long history of selling property in a local area must have a positive reputation with a number of recent sales that have achieved fair market value.
One of the biggest points of negative feedback with real estate agents is over quoting property’s value to win a sale. Vendor advocates will give you an independent market appraisal on a property’s true market value based on comparable sales made in the local area.
Advertising: Real estate agents are notorious for over selling a property advertising campaign to advertise the agency rather than a property. A vendor advocate will make sure the most effective advertising is selected while not over spending the advertising dollar.
Closing a sale: Real estate agents have a reputation for conditioning both the buyer and seller, burning the candle at both ends so to speak.
A vendor advocate will make sure transparent feedback and good communication to remove the pressures tactics real estate agents use.
Vendor advocates are real estate professionals that understand the complexity of selling property. Their years of selling real estate helps them pass on wisdom and knowledge to their clients bringing both tangible and intangible benefits when selling their home.