ESTATE AGENTS: WHAT ARE YOU PAYING FOR?

A changing consumer mindset continues to place the issue of value, relative to cost, under pressure –  and real estate transactions are not exempt from this scrutiny. In the modern day debate around commission, property sellers are asking, ‘what am I paying for?’

“We love that question,” says Anthony Stroebel, well-known marketing and real estate expert who currently heads up strategy for The Pam Golding Property Group.

“It’s those agents who can’t answer that question, who are going to become the agents of the past and are going to disappear. It’s the reason we have this entry into the industry of fixed-fee agencies and there’s absolutely a place for fixed-fee agencies.

“But this is not an homogeneous industry and this is a critical point. There are hugely disparate kinds of sellers, including sellers who have the need for professional agents who can offer wisdom and value into the transaction. That is what sellers pay for when they pay commission.

“Sellers who have very simplistic, transactional requirements can work with more simplistic models where the value proposition is far simpler, more linear and more transactional. But in that context, the seller needs to decide on their appetite for risk and that is the simple answer to the question, ‘should I go with a fixed-fee agency or commission-based service?’ Because fundamentally, you get what you pay for.

If you are thinking about selling or buying a home, we recommend contacting a Pam Golding Properties specialist in your area for accurate interpretation of information and professional advice.

Posted by Niki Jackson