The answer is yes. Whilst the market is driven by external influences that are numerous and varied, the commodity of property is transacted between people so it is logical that the attitude and approach of the parties involved; buyer, seller, and agent has a huge effect on the individual transaction which in turn has a bearing on the overall market.
An agent can play a huge part in the state of a real estate market, particularly in a small area like a specific suburb or market sector. Agents are now a business within a business, the smart ones are concentrating on specific areas where they can become experts in that particular market. I’ve always told agents I’ve trained that “The market needs and wants optimism and direction”. It’s our job as agents to provide that.
The agent can create a positive feel and bring energy to a market place when they have a genuine market share in that area. When an agent has around 20% market share in sales volume in a particular area they are definitely having a bearing on sale prices in that area. They are armed with true knowledge that comes from knowing what the buyers want. They are selling the benefits of the area not just the features. Most suburbs have a park, but the agent who knows why a particular suburb is a great place to live for reasons that benefit a buyer really has an influence. It’s all about the benefits, not the everyday standard features. What is it that sets your area apart? One factor I’ve noticed is that the best-performing agents have a business-like approach and generally have a core market area that they service. The agent with market share generally has the ability to help influence a market, they may already have buyers on their books and they will have a relationship with sellers in the area. They believe in the area and its worth so their attitude and approach does have a positive effect on the market price.
Any business owner in any kind of industry that believes that they are the company, or that the logo and latest marketing is the biggest driver in how their company succeeds is delusional. It’s the people within the business that determines how the business is perceived. It’s the engaging of people within the business with customers that has the biggest effect. People buy off people, so if you’re selling think long and hard about who your potential buyers will be engaging with. Can your agent have a positive effect on the market for your property with energy, knowledge, experience and great service? Absolutely.
Written by Andrew Acton. A real estate agent, business owner, and trainer.