Let me repeat that title — I am not a Salesman.
“But Jay, you sell real estate”, you may be thinking.
No, not really. I can’t sell a home to anyone that doesn’t want one. I can help you buy a home. I can help you get your home sold. But I can’t, and won’t, sell you a home.
Some people have an innate ability to be true salesmen (or “salesperson” to be politically correct. Meh.) You may have heard the (politically insensitive) joke, “That guy could sell ice to an Eskimo”.
Well not this guy.
In fact, I’m not really fond, at all, of salespeople. I don’t like being “sold” on anything.
And the simple fact is, my brain just isn’t wired to be a salesman.
Sure, stupid government entities and all the bureaucracy associated with them has pretty much forced real estate agents to be called “salespeople”. It’s printed right there on our licenses — Real Estate Salesperson (at least in Arizona).
One of my favorite things about getting my real estate broker’s license is it doesn’t say “salesperson” anymore. It’s semantics, but I like it that way.
Ardell DellaLoggia at Rain City Guide wrote a post today that I think it one of the better blog posts I’ve seen. Ever. In Paradigm Shift: Changing the Human Experience, Ardell opines about something that I think is sorely missing in real estate.
Chiefly, “Who is the customer?”
It seems like an easy answer. It’s the home buyer or the home seller — depending on which side of the transaction we’re on (and we abhor single-agent dual agency ((Dual agency is where the same agent represents both the buyer and seller in the same transaction)). But that is a post for another day).
And that’s exactly my answer.
But it gets complicated. Complicated by agency law, and complicated by archaic brokerage models. As Ardell points out, “In most realities, the customer of the Brokerage is the Agent.”
If you could walk into most real estate brokerages today and look behind the scenes, you’d see white-boards showing listings and sales under contract. You’d see a wall full of “million dollar producer” awards, and “diamond awards” and other such nonsense. You’d see rah-rah sales meetings with brokers pontificating about ways to get more “leads” (a word I personally despise) and methods to sell sell sell.
It makes me want to puke.
When I started Thompson’s Realty, I was told by several well-intentioned brokers that our model wouldn’t work. One loudly proclaimed that we weren’t charging our agents enough for their Errors & Omissions insurance. “You can make a killing on E&O!” I was told.
Last I checked, I’m not in the E&O business.
“How can you charge desk fees if you don’t have a physical office?” one asked.
Last I checked, I’m not in the furniture rental business.
Something needs to change. Ardell proposes some great ideas. Ideas we are implementing as are some other progressive brokerages I know of. But it’s not enough. Until more wake up and realize that without the paradigm shift Ardell proposes, nothing in the grand scheme of things will change.
I loved Ardell’s article. Anyone remotely interested in real estate should read it — be you an agent, a broker, a home buyer or home seller.
I am not a salesman. To quote Ardell yet again, “we do not sell anything for a living. Rather, we represent people for a living.”
The Phoenix Real Estate Guy was started by Jay Thompson, and I have a little blogging problem... he liked to say...
Good post Jay! I liked Ardell's post, and yours is totally in harmony with it. I think we are going "back to the future" with the whole real estate brokerage model. Only the tools and # of documents have changed.
In the 1930s, my great grandparents were real estate brokers here in California. All their marketing was word-of-mouth, or through their social networks of the neighborhood, the church, and their Eastern Star and Masonic Temple memberships. Personal reputation meant everything! There was no "selling" to anyone, only guidance to those who needed it.
(I'll probably expand these thoughts on my own blog in the next few days.)
I am not a sales person ether [email protected]%$ it. The real estate sales people are all those chumps who are getting out of the business.
**James Boyer´s last blog post..Chatham NJ Home Sales December 08</abbr></abbr>
Very well put, Jay! I couldn't agree with you more. In a way really, the clients "sell" us their dream and we "find" a home to fulfill it.
**Lenda Goudling-Cary NC Realtor´s last blog post..In Cary NC, Cooking Oil Recycling Pilot Program goes curbside!</abbr></abbr>
Fantastic post! You hit the nail on the head with that one; we are indeed helpers, guiders, and teachers as we embark on the home buying process with our clients.
**Leon Belenky-One Bal Harbour´s last blog post..The Bath Club – Miami Beach Luxury Living</abbr></abbr>
I agree with most of this post, the role of the new realtor is more of a facilitator/negotiator rather than a salesperson.
Ryan Philipenko – Real Estate in Edmonton
Jay,
I tried it once, it took a week. The net impact was that the agents became better agents almost instantaneously.
You will be surprised how many don't represent people well, simply because their Broker never asked them to do that.
Pretty simple stuff. Ask people to SELL well…and the sell well. Ask them to represent people well…presto-chango!
As I said in my post, it's a revolution to change a mindset…one mind at a time.
Thanks for noticing. I'm in my Norma Rae mode. I do this between New Year's Day and Chinese New Year, so I have 20 more days of this with the Inauguration in between.
**ARDELL´s last blog post..Paradigm Shift: Changing the Human Experience</abbr></abbr>
Excellent post Jay, I believe "sales people" have to listen to exactly what their client wants and if they listen well enough than there is no selling involved, just leading.
P.S. Do you know any brokers for hire?
Thanks Again!!!
**DealMakers Blog | Sean Terry´s last blog post..The Art of the Fix and Flip for 2009</abbr></abbr>
Jay,
I'm right there with you. I liken my conversations with my clients to a stereotype of a psychiatrist, client: "Bob, what do you think of this home?"
Bob: "Well, tell me. What do you think of this home?"
Brokerage is one of the best professions for those who love to learn as much as they love to teach.
-Bob
**Bob Maiocco in Denver Real Estate´s last blog post..Sloans Lake Offers A Lot in a Denver Neighborhood</abbr></abbr>
Your blog title brought me in from my feed reader and inspired me to add a comment. That action alone should prove you're not selling anything, but providing content and hoping folks like me come in and buy. Or comment. Or something that they otherwise wouldn't do.
**Ari Herzog´s last blog post..How One Post Quintupled My Blog Visitors</abbr></abbr>
Kudos to Jay & Ardell for writing on this subject. Jay, it's posts like this (and the cold weather here in Calgary) that make me wish I were in Phoenix / Gilbert working for Thompson's Realty.
A long term goal for the real estate business is REFERRALS. This is hard to achieve if you're a salesman. It's all about customer service and being honest. We're seeing lots of "salesman agents" hitting the road to the next quick buck.
Jay, I cannot tell you how much I love this blog post. Are you reading my mind or what. I watch so many local agents who are short term thinkers. All they seemed to be poised for is the next swindle. I am fairly new to the market but this blog is a model for how I think and would like to run my business. Real estate is not a fad for me. It's a career choice. Unlike so many other agents in my area, I have a degree and could do something else. I just love the housing market and hope to be in it for as long as possible. Thanks for showing me that there are others in this business that think like I do. FANTASTIC POST!!!
I have saved you site address and can't get back to read more.
Great post. I appreciate the last line. Having a Fiduciary Responsibility breaks the salesperson mold in my opinion given that we have to operate at a higher standard and level of loyalty. How can you or how do you 'sell' someone when you have a fiduciary to abide by them? We are more consultants than salespeople if you take this business seriously.
**Chandler Real Estate´s last blog post..The Agent Tour or “Agent Caravan”</abbr></abbr>
Interesting post! We are not sales man because we are not selling we are just lending a helping hand to people who need our guidance to make their dreams come true for living.
**Sophia Jason´s last blog post..Numbers to note while buying a home</abbr></abbr>
I also loved Ardell's piece and think that we our in the midst of a major shift in the Real Estate business. To think – it's about the consumer! Novel concept isn't it?!
I guess I'm not ashamed at people thinking of me as a salesperson. Call it what you will. I really do believe that the people I work with become personal friends for a reason. If they buy now, rent now, buy later, they know I'm here. But I hope they know, that from my heart, I'll support their long term and personal goal.
If you ask for a size 8 black flat in a shoe store (okay – I am a girl), and the 'salesman' brings you some options that fit the bill – is he a 'salesman'? I think so. But, is that bad? I think the best salespeople are those that really are there, serving the good of the consumer from the heart.
It's the salesman that brings out the navy blue high heel, size 8 1/2 pitching their great sale – 'Buy Now' approach – that leaves us all a bit nauseous. I think therein lies the distinction.
Unfortunately, I think recent years in this business have left us with too many examples of the later. But, that's changing too….
**Linsey´s last blog post..Microscope on the Market – Rancho Santa Margarita</abbr></abbr>
I am in total agreement. As a matter of fact, I might make the case that if you are engaged in "selling" a particular home you would be violating your fiduciary responsibilities to your buyer. Do what is best for the client, and they will thank you, remember you, and refer you to their family and friends.
Great blog. I do not consider myself a salesman either. I usually make friends of my clients and continue a relationship with them after the sale. I treat my clients as I would a family member. Salesmen just want a quick sale and to move on to the next one.
The terms "salesperson" or "salesman" are just words, but have a negative effect on most people now days. "Real Estate Consultant" doesn't quite get it either, so I usually use plain old "Realtor" for my title. My brochure says "Nothing inspires me more than helping others enjoy the lifestyle they've always imagined" and my motto is Live the Dream. Perhaps my title could be Dream Weaver. Do you think people would understand what service I provide?
Great post. I think this can apply to other traditional sales areas too. A good 'sales person' needs to understand what the client wants and help fit a solution to completely fit their needs.
That creates happy repeat customers!
Hi Jay, I was pleased to connect with you at the Meetup last Dec. It is like a 'breath of fresh' air to have you define our position as Realtors does not necessarily equate to the typical salesman philosophy!
I definitely do not appreciate the salesman stigma and the negative connotations that this brings with it.
I always try to put the customer/client first. There is no better feeling than having a client excited about their new property (especially those first time home buyers!).
Real estate is a great people business. In this business you often meet people outside your circle of friends or sphere of influence. Most of our past clients have become great friends and expanded our horizons. I had a past client just call today to say that they were pleased that I was going to assist them again in their move because they knew me and felt comfortable that I would be honest and provide them with good service.
I think over the past few years Realtors were looking at numbers: how many homes can they sell, how many clients do they have, how many newsletters do they send out, how many people are in their contact book etc. They have deviated from the responsibilities of their ‘job’. We are in a service oriented business – so offer the best services to your clients that you can! 2009 will be a good year
Jay: The sign of a good blogger is someone that takes something that everyone feels, but few have verbalized, and put it into words in a cohesive structure. You just did.
I have been thinking for years – "I'm not a salesperson, I represent people, I help them and look out for their interests". And I studiously avoided the term "salesperson" in connection with my work.
Kudos to you for touching a common issue for many of us.
Linsey is the only one here that I agree with about salesman. Change the title all you want, but that's what we do. I expressed the same over on Ardell's blog and I'm think she may be using a ghost writer, or, is that what a blogger wants from it's readers. Complete agreement with the message and slaps on the back for the prose? There is nothing wrong with being a salesman. I am no better or worse than a car saleman. If that offends you, go ahead and call yourself a "representative" or "consultant" or "housing expert". But, I along with everyone over at Zillow will be laughing at you. Come on, you can say it. I AM A SALESMAN. Be proud of what you do and do it well.
Jay – Decided to stop by after seeing you mentioned in Realtor Magazine (January). What a great post! As someone else already said, in my short career as a Realtor® I have thought these things but have never verbalized them. Glad to know I'm not alone. It may just be the way we think about ourselves or what we call ourselves, but that matters. It makes us different, and the client can see it. I'm in this for the long haul. My clients are counting on it.
**Stephanie Davis´s last blog post..A Real Estate Train Wreck</abbr></abbr>
It is an interesting post.I love very much this site.
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juliana
http://www.uk-network-marketing.com
Good post. I'm with you 100% and doing in Columbus what I've always sensed you're doing in Phoenix. I've started a brokerage that is open, real, and transparent, while advocating and representing real estate consumers.
I'm looking forward to being a part of that paradigm shift, if just a small part. Keep up the great work.
**Joe Peffer´s last blog post..Why Mortgage Rates Could Hit 4.5% very soon</abbr></abbr>
Jay,
First, thank you for using the word "opine." It was a refreshing site to see, as most of what's written on the net these days is set (perhaps for marketing purposes) at about a 3rd grade reading level!
Second, I could not agree more with what you've said here. The high pressure, hard sell is dead. I actually wrote about this months back in an article geared toward getting some of my Realtor clients to change their mindset a bit.
Always a pleasure stopping by.
Kevin Sandridge
Winter Haven, FL
**Kevin Sandridge´s last blog post..Gunk Up Your Email: Your Customers Will Thank You</abbr></abbr>
Jay,
Well put – that's why we love ya.
I'll address a couple of points & comments as they pertain to money:
1. Expenses are the key. I know some terrific realtors (and mortgage people) – long-term people who always act in their clients' best interest – who have left the business in the last couple of years. The main reason is they let their expenses balloon with the boom times. Doesn't mean they're not good realtors or good people, and they're certainly not sheisters. I'd encourage everybody to think twice before making blanket statements about people who have left the business.
2. Expenses are the key. When you're not worried about having to kill yourself to make your monthly nut, it feels easy (even natural) to refer business out &/or partner up when you're overworked and your customer service might suffer. So really, keeping your expenses low allows you to give better client-service, which keeps your business healthy & growing!
Full disclosure – I've been on both sides of the fence, and speak from experience!
Great post & lively comments – thanks for writing it!
**Chris Butterworth´s last blog post..AmeriDream Revived?</abbr></abbr>
Thanks for this mini-inspiration. I hope you don't mind if I blatantly rip off your post idea in the future on my blog 😉
BTW, love your comments plugin! Gotta hook that up for myself!
Andrew LaFleur
**Toronto Condos Dude´s last blog post..Sales Down. Prices Down. Inventory Up & Down?</abbr></abbr>
great post – i'm not a salesperson either. i always felt like if i could generate enough leads for a property, i could sell it
Though I'm not into real estate business, I also engage in a business and as we hone our craft ,in the long run, it's more of the relationships we build with our clients.
At the end of the day, it's not about counting the money we earned, but how we remember the satisfaction our clients get from us.