First, I must say that it is an honor to be able to share my thoughts with such a distinguished audience. This site and its members has been essential in my professional growth and development. As such, I found it fitting that my first post should be about professional development.
As real estate professionals, we have a duty to develop our real estate expertise and industry knowledge in order to keep up with the changing markets and best serve our clients. Yet everyday I am seeing (both online and offline), professionals who are content spouting off ‘advice’ (and I use the term loosely here) on topics about which they apparently are ill-informed. For example, a few days ago I overheard an agent telling their client about a ‘real estate investment opportunity of a lifetime’ (that’s an actual quote, I couldn’t have made THAT up). However, in their cashflow worksheet he failed to take into account property taxes, estimated repairs, projected vacancy rates, etc. which when calculated would make this cash cow into quite a money pit. In addition, although as professionals we are expected to have a certain degree of industry expertise, we are NOT an attorney or a tax adviser so refer any questions outside your scope of expertise to the appropriate party! I saw a post on a national real estate forum in which an agent answered a potential buyers question: “I am considering buying a $52K property that I intend to rent out to bring in income, do I qualify for the $8k tax credit”. The agent’s response was an unequivocal YES, “Yes, you qualify and it’s the perfect time, I am a Realtor in your area so give me a call”. Does anybody see something wrong with that answer? I won’t go into detail as to the many ways in which he is wrong, but you get the point. Don’t pretend to be an expert in something you are not!
I fully realize that this is not applicable to BH members/subscribers, as by nature Bloodhounders are professionals who seek to raise the standard by continuously pursuing self-improvement and knowledge. My hope is that somehow, somewhere, somebody will realize that this was written directly to them!
“A little knowledge is a dangerous thing…” Alexander Pope
Anissa says:
Great post, and I think lots of us have seen this kind of “advice” being tossed about before. Sometimes its just outdated information – things that may have been true a few years ago that are no longer true or relevant. No matter the motive, however, its never a good idea to make claims outside the scope of your expertise. Mistakes like that can be very costly to the client and to the public perception of our industry. And I’m quite certain that no client ever thought less of me for saying “I think that’s right, but let’s call the (CPA)(Appraiser)(Title Attorney)(Lender) to make sure we’re interpreting this correctly.”
May 2, 2010 — 4:06 pm
Robert Worthington says:
you make a great point about professionalism. Realtors need to be careful about the questions they answer from people.
May 3, 2010 — 7:11 am
Randy Vanderpool says:
Alex,
This is my first time on your site and I am thoroughly impressed with this post, as well as a few others I have checked out. To listen and learn from someone who values integrity and professionalism is such a rare occurrence today, so I thank you. I will be back!
May 3, 2010 — 8:38 am
jeff Brown says:
Welcome Alex!
May 3, 2010 — 9:05 am
Mark Brian says:
Without a doubt there are subjects we are not experts in and it is a serious mistake to pretend to be something you are not! Excellent article & advice!
May 3, 2010 — 9:58 am
Anita Koppens says:
Sounds like they just wanted to make a sale regardless of common sense or ethics. If they tell people what they want to hear they think an opportunity may materialize where there is none.
May 6, 2010 — 2:01 pm