Are you practicing ‘agent agency’? You didn’t know there was such a thing, did you?
What do I mean? First, ‘buyer agency’ of course means representing the best interests of the buyer. ‘Seller agency’ means representing the best interests of the seller. What are the best interests of the seller? According to thousands of sellers in a Consumer Reports survey , they are satisfied with the level of service when the
1. listing sold quickly
2. listing sold for close to listed price
We all know that listings priced right sell faster and for closer to full price. So, practicing ‘seller agency’ includes taking marketable listings–not over-priced ones.
Agent Agency Practice Doesn’t Put These Two Goals First
‘Agent agency’ means you are listing properties for what you think are your best interests, not the seller’s. What are those ‘best interests’?
Okay: Maybe the picture’s a little much….
Agents tell me they take over-priced properties because
1. They’re afraid if they don’t take the listing, someone else will. Their selfishness comes first. (Does your doctor give you the medicine you want, because, if he doesn’t, someone else will?! Doctors who do this are convicted of mal-practice–or worse)
2. They think they can ‘get the price down later’ and want to control the property themselves from the beginning. This self- serving tactic costs the seller thousands in proceeds because shopworn properties, on the market a long time, result in much lower selling prices—just look at the sale racks at clothing stores! (And look at your MLS statistics)
3. They want to use the property as a ‘bait and switch’. Agents know that signs and ads–plus online marketing– bring calls. They know the potential buyer won’t buy that over-priced property, so they always have other right-priced properties in mind—to switch them to. Doesn’t this sound exactly like a ‘used-car salesman’ approach?
How to Identify If You’re an ‘Agent Agency’ Practitioner
You’ll know when you answer this question. Do you know the percent of your listings that sell in normal market time? If it’s less than 70%, I think you’re practicing what I call ‘agent agency’. (You may not even realize you’re practicing this way).
What Do You Think?
What percent of listings sold in normal market time in your price range seems to indicate that the agent is practicing seller agency? What percent indicates the agent is practicing ‘agent agency’? What do you think?
In my next blogs, I’ll help you switch from that tempting ‘agent agency’ to what I call ‘client-based’ marketing. You’ll gain a great reputation and make your listing life much better!
