A million years ago, my mother won the office football pool. It was a Pick the Winners contest, and she did it with a plastic pig. Now, keep in mind that this is the same woman that found herself relegated to her bed for a week after losing the rubber match of “Who Can Jump Over the Most Boxes in the Backyard” to my then 14-year-old brother. Evel Knievel she wasn’t.
Anyway, she had this hysterically funny wind-up pig that, when activated, would spin furiously on its base, squealing all the while. Her scientific winner-picking method, the envy of any Vegas sports book, involved circling the team name which resided in the ultimate landing vector of the pig’s tail. When she collected the booty this particular weekend, a guy at the office replied in disgust, “I can’t believe I was beat by a plastic pig”.
Certain events of the past week have led me to believe that too many people are relying on the plastic pig method in selecting their real estate agent. Now, an agent plays many roles, but marketing and exposure of your home is first and foremost. Without an interested buyer and without an offer, an agent’s professed superiority in negotiations and contract management will be meaningless and in fact go untested. The listings without photos or well-written text, the agent voice mail messages declaring that “all calls received after 5:00 PM will be returned the next business day” (or on the Autumnal Equinox, whichever occurs last), the show instructions which involve 24-hour notice, a silent prayer to the East and the winning lotto ticket are all things I have encountered. All, unfortunately, serve only to keep agents and their buyers away.
My latest reminder that all agents are not deserving of the listings with which they have been entrusted came in the form of a phone call from a frustrated shopper. Three messages to the agent’s number in the ad and 48 hours later, she was still trying to make an appointment to see a property. Ultimately, she pulled my number off of another sign in the neighborhood in a last, desperate attempt to gain access. Based on the area code of the listing agent, I must assume she didn’t have time or inclination to make the 3-hour drive to open up the (vacant) home.
I showed the buyer the property, of course, and another in the complex. It took me five minutes. I had to ask myself, however, why would the seller hire someone who wasn’t going to be available to work on their behalf? Did they have a previous relationship with this agent? Well, I have previous relationships with buyers all over the place, but I am NOT the best one to represent them in their next sale if their current property is located outside of the county. Did the relationship involve an agent who was giving them a “break” on fees? They will only realize this savings if the home actually sells and for market price.
Coincidentally, I received a special, personal email from Redfin’s Glenn Kelman last week. He undoubtedly sent me this email because he respects my opinion and authority. Or, I suppose it could have been a blast to all of the people like myself who signed in on the Redfin website month’s ago during a snooping-around-with-nothing-to-do moment. The email was an announcement of their expansion plans in the San Francisco Bay Area. Now, I know Glenn is a busy man, but I had to hit the reply button and ask about any plans to conquer San Diego in the near future. (This is the kind of relationship we have). To his credit, he did respond immediately (“reply to all”?) and informed me that they would be coming soon. This got me again thinking about the Redfin model and the inherent flaws of which we have talked ourselves blue in the face. The Redfin buyer is charged with finding their home of choice and delivering it to the Redfin agent on a silver platter, at which point the agent will write the offer on their behalf for a reduced fee. Sounds delightfully simple to the control-inclined, the do-it-yourselfer, the I-don’t-need-no-stinkin’ agent contingent. But what happens when you are faced with a world of plastic pigs?
I have one potential answer, which is also my punch line and a reminder to agents. The buyer I spoke of who nearly begged for access to the plastic pig home, the buyer who was delightful and respectful and at wit’s end on the phone, viewed the properties with me, thanked me, and did a bee-line for the car. Poof! Now you see her, now you don’t! In retrospect, our relationship was doomed from the beginning. She only loved me for my lockbox key. It’s my fault, of course. I have been in this business long enough to know better, and to preface any showings with the ground rules (I show you the home, I write the offer). Being married to a Pollyanna does tend to rub off eventually, though, and I too often choose to be trusting when I shouldn’t and act on instincts when they are misguided.
I will continue to cling to the notion that most people are good and decent, that they will by and large treat others with respect, and in the case of agents, will recognize that we are not non-profit institutions. But with the Redfin-like business models emerging that may in fact encourage deceptive showings when one finds themself face to face with a plastic pig, it may be better not to leave it to chance.
Brian Brady says:
I like the plastic pig analogy. CAR should put out a campaign along the lines of:
“Here are five question you MUST ask a real estate agent before establlishing buyer’s agency”
January 15, 2007 — 9:33 am
John says:
Good post.
It’s sad how it takes so little to be a great agent. All that’s needed is attention to little details. What’s even sadder is how most people judge a good agent by the fancy marketing brochures. In the end, the home is sold with good price, easy access, good photos and timely response.
That’s what I focus on in listing presentation. It’s the little things that others overlook.
January 15, 2007 — 11:26 am
Jim Cosgrove says:
I agree that service is key, we are in a service business. but, we want to consider ourselves “professionals” and we want to be treated like professionals yet we don’t act professionally. If you want buyers to value your time you must value your time. When they call on a lawn sign,we ask them to come in to the office to discuss their wants and needs first. We make sure they’re qualified to buy the homes they wish to see before we inconvience the sellers and waste our time. The serious buyers will take the time to sit down with us, the tire kickers will get mad.
By not wasting time with time wasters we can spend the extra time giving the serious buyers excellent service.
January 15, 2007 — 12:22 pm
Melanie Narducci says:
Thanks, Kris! I actually look for properties listed by agents outside of the area, it can be a great way to get good deals for my buyers.
January 15, 2007 — 1:26 pm
Kris Berg says:
John – Agreed, although the fancy brochures are am important part of the marketing arsenal in a slower market. We have to hit on all cylinders.
Jim – I like your more disciplined approach and believe I will consistently adopt it.
Melanie – Amen!
January 15, 2007 — 3:19 pm
Athol Kay says:
Buyers Rep agreement signed for the win?
January 15, 2007 — 4:16 pm
Jeff Brown says:
Buyer-Broker Agreement Buyer-Broker Agreement Buyer-Broker Agreement
Sung to the conga-line song made so popular in the early ’60’s by Heckle & Jeckle. π
January 15, 2007 — 4:54 pm
Kris Berg says:
Jeff – Nope. Won’t do it. Have never used on and never will. Many will disagree with me, but I am firm on this, which is a subject for another post.
January 15, 2007 — 5:04 pm
Jim Cosgrove says:
I can’t wait to read that post, Kris. I used to work with out Agreements but got sick of working for nothing. You wouldn’t work for a seller without a Listing Agreement, why work for a Buyer without a reasonable expectation of getting paid?
January 15, 2007 — 6:56 pm
Danilo Bogdanovic says:
Most of the buyers I come across are genuine and honest. But not all are. Unfortunately, you have to take the good with the bad.
I don’t force buyers to sign the agreement at our first meeting and prior to showing them property. But I do explain that Virginia law states that unless the buyer’s agency agreement is signed, by default, I represent the seller and can not act in their (the buyer’s) best interest. I also explain that the agreement is in essence a retainer and that they can fire me if/when they’d like.
January 16, 2007 — 10:30 pm
Kris Berg says:
Danilo, I like the idea of using the agency agreement instead of a more heavy-handed BBA. Thanks for the recommendation – It has merit.
January 17, 2007 — 7:47 am
John Harpe says:
Speaking of pigs…
I once found a greeting card I loved and purchased a whole stack of them. The art on the front by Jody Bergsma showed a lively crow, a happy frog, and a sour pig.
The inside read – Never try to teach a pig to sing, It wastes your time and annoys the pig.
Every six months or so an occasion arose that begged for one of those cards. Mostly, I used them to respond to a friend who would relate a story such as yours.
January 23, 2007 — 7:37 am
Greg Swann says:
> Never try to teach a pig to sing. It wastes your time and annoys the pig.
That’s Robert A. Heinlein, given voice by his character Lazarus Long. The last great name of nineteenth century American literature, inexplicably miscataloged in the twentieth century, in the science fiction section.
January 23, 2007 — 10:50 am
Kris Berg says:
And to think… The post wasn’t really even about pigs.
January 23, 2007 — 12:16 pm
shane says:
To think that location, location, location is being replaced by customer service, customer service, customer service is a good sign in the real estate sales industry. It shows that sales professionals are coming to terms with the threat of retailers and lending institutions eyeing thier business on a business level. The greater the effort in the education of the general consumer by sales brokers and agents with what good customer service is, and should be expected from their realtor not only forces the sales industry to reform, but takes away from any of the general ideas that realtors are similar to some of the more shady sales stereotypes found in the world. I wish you the best luck in your consumer education programs.
January 23, 2007 — 9:53 pm
Drew Nichols says:
In preparing for my realistic career, I have probably read at least a dozen books, many of them on the right hand side of this website.
Some of these books date back to his late as the early 1960s and then run all the way to 2006. One trend I’ve found, with a few exceptions, was that the older books seemed to focus more on salesmanship whereas the newer books, while still focused on salesmanship, spent a significant amount of time talking about customer service and how to make clients for life. I found this observation be quite interesting, and telling of the industry as a whole.
I must be honest and tell everyone that I am pretty excited to be getting into such a fascinating career. I don’t know if everyone realizes how lucky they are to be in such a dynamic industry that is changing for the better every day.
January 28, 2007 — 5:06 pm
Susan Zanzonico says:
This subject never really gets old. If a buyer calls on a sign, I begin the buyer consultation on the phone…timing for their move, have they been pre-qualified, etc. I might meet them at the property and show it if they seem serious and its close, but only once. Most of the time they must come into the office and I do ask them to sign a buyer’s agency agreement. (I have been doing this for the last 6 months) I think we need to weed out the “tire kickers”. Too much time is wasted and its really not fair to the sellers as well since we ask them to pack up their kids and leave the house for showings. I explain this to buyers as well…ask them to reverse the situation. That is when they get it.
July 2, 2008 — 4:30 pm