What’s in store for Realtors® in 2019?
From CEO Jeff Kee
Is this your last year in real estate? I think not.
I’ve been helping real estate agents since 2005, and my first Realtor® website launches started in 2007. In 2008 we saw a great recession, which saw home prices & transactions fall significantly well into 2009 until the market recovered. A wise old proverb says what goes up must come down, and the real estate market is no different.
Throughout the second half of 2018 the number of homes sold in Metro Vancouver saw double-digit drops, many of the months recording about 40% lower sales compared to the same period in 2018. It is, without a doubt, a slow period for real estate professionals.
I’ve seen this before; this was coming again without a doubt — and here we are:
Homeowners (sellers) have been used to double-digit increases in home prices, and were (and some still are) expecting to sell at a certain price point.
Buyers, due to increase in mortgage restrictions and other factors, are taking a breather and standing on the sideline, watching.
Many Realtors® report that open houses show very low activity, often completely void of visitors even in the most popular parts of the city.
The result: less transactions, more inventory than ever, lower sales-to-listing ratio; a market stagnation, a stalemate, or a buyers’ market… however you want to call it.
After a historically slow summer, November 2018 still saw 42.5% lower transactions than November 2017!
During this stagnant period, many less-established real estate agents give up & drop out of the market.
As any market goes, it will recover, and start rising again, as it did in 2009 and on, until now.
This is an opportunity for many real estate agents! But this also means new real estate agents will flood the market again as things recover, increasing competition.
What To do During A Slow Real Estate Market As a Realtor®
It’s not the end of the world, nor the end of the real estate market. Homes will be sold, commissions will be made again. It’s a question of when, and by whom. One of the biggest mistakes that businesses make during recessions (this applies to all businesses, not just real estate) is to skim down on marketing budget first. Many businesses made this mistake during the 2008 recession and hurt their stagnant sales even more.
In the 2008 downturn, the REBGV saw over ⅓ of Realtors give up their licenses and walk away.
Will you be part of the ⅔ that remain, or drop off?
When there’s less pie, you need to work harder for a slice!
Slowing down your marketing, or reducing the quality of your material, is the worst thing you can do during a recession. In fact many business leaders call for increased marketing expenses during slower times. There are still competing agents in the field, with even less action. You have to work harder to get a piece of the smaller pie. Remember that being a Realtor® is a zero-sum game. The deals others close, are the deals you lost out on. Are you going to compete, or sit back and lose? Your call!
This is a turning point and an opportunity. In the 2008 downturn, the REBGV saw over ⅓ of Realtors® give up their licenses and walk away. Will you be part of the ⅔ that remain, or drop off? This slow period can be an opportunity for veteran agents to secure their presence, and for new & motivated agents to rise up to the call. We can help you avoid being on the bottom ⅓.
Sharpen Your Swords During Your Rest Period; Don’t snooze!
The time you are NOT spending on back-to-back showings, or dealing with multiple offers into 11PM is the time you should re-invest into bettering your marketing. We offer the most unique & high-performing listing marketing material to help you rock your next listing presentation or buyers meeting.
By preparing now, you can be better-established for when the next wave of new Realtors® flood the scene and try to take a piece of your action away.
Invest & work ON your business,
not just IN your business.
More Leads, More Qualified Leads, More Sales from Your Website
Our custom websites take a scientific approach for results. Because first impressions are made on the listing detail pages almost 40% of the time, we offer an industry-leading design solutions. Upgrading your listing gallery can help you entice even more buyers & sellers, and potentially attract even more Google traffic from qualified leads.
“We win half the battle when we make up our minds to take the world as we find it, including the thorns.”
Orison Swett Marden
More Attention To Detail & Finesse During A Slow Period
Our design team can work with you closely to brainstorm and create the best marketing platform ever. With your valuable input, and our genius creativity, we can hit a home-run together. You are a cut above other Realtors® – our real estate branding services can set you up on the right base!