Warning: Not adding value is detrimental to your business.

As an estate agent you believe that the service you provide adds value to your clients, but is it true?  Are you really adding value?  Are you confident in the belief of the service you are giving?

When valuing a home, what is your approach?  I was speaking to a friend of mine the other day and we were having a discussion about appraisals, she said her frustration is when agents will not actually give her a valuation, instead they ask her what price she would like to sell her property for.  She told me “I thought the whole idea of a valuation was I would obtain a detailed understanding of the current market within this area.  That I would be shown the facts and figures and comparables highlighting where my property sits within the market as well as being given an asking price which reflects that.”  Sadly this situation is more common than you think.

Another type of agent is the ‘Yes’ man, so eager to please their clients and obtain business; they allow themselves to be dictated to on the asking price.  This ‘client price’ is always inflated and doesn’t reflect the market and therefore causes frustration, delays and requires several drops of the asking price until it is sold.  This is not a healthy way to do business or to attract referrals and repeat business.

But why is this happening?

I believe there are two reasons; the first is some agents are complacent in their business and they don’t believe there is a need to change what they do.  Secondly, competition is creating a feeling of fear; as though agents want to please their clients so much as they can to get the business.  If you are one of these agents, let me tell you this is a very bad tactic.

Some of the best agents I have worked with regularly achieve a sales price higher than the asking price.  So what are they doing different?

 

  • They take the valuation process seriously.

They research, create a pack of data and comparables for potential Vendors to digest.  They are promoting their knowledge and expertise and becoming trusted advisors.

 

  • They are honest about the condition and presentation of the property.

They are always seeking ways to add value to each and every property they appraise.  They will give comprehensive feedback to each client on work they consider necessary to achieve the best possible price for their client, whether it be repairs, decoration or home staging.  They work with the clients to obtain the best results and where necessary recommending tradesman and home stagers.  The outcomes for this attention to detail are completely worth their while as they move properties to the Vendors timescales and are achieving approximately 5-10% more in their property fee due to the sale price achieved.

 

As agents we should be helping our vendors to maximize the most precious tax free asset they own, their home.

 

  • They never negotiate.

Yes everyone loves a bargain, but you should not be reducing your fee, instead you should be selling your worth.  Providing an exceptional appraisal will illustrate your expertise, prove that you can sell their property in the timescale discussed, and demonstrate that with your advice their asking price is achievable.  You need to be confident in your worth and never undersell you or your company.

 

  • They follow up.

This is not a quick phone call from a person in your office asking if you are getting the instruction.  The follow-up has a purpose, and the purpose is not to sell. The follow-up call is all about continuing the relationship, highlighting your expertise and willingness to help whether or not they instruct your services.  The follow-up call is about creating a positive lasting impression.

A Vendors most valuable tax free asset is in your hands.  Do you take the hard road and advise your clients how to add value, or do you play it safe?

There are far too many agents playing it safe.  Stop shying away from what’s difficult and start on the path of becoming the agent you know you should be, you will soon reap the rewards.

If you believe you are not performing to your true potential, I can show you how to succeed by creating a robust business built for growth.  Contact me today and let me show you how to become The Agent in your area.

Stephen Brown

Consultant to Estate Agents with the focus of generating more revenue. Over 20 years of industry experience having been a Director of an award winning London Agency.

You May Also Enjoy

Breaking News

Popping the Asking Price Bubble

Where in the Uk Can Buyers Snap Up Property Bargains and Where Properties Go for a Premium Above Asking Price   New research from fast selling property company, Upstix has uncovered the UK’s most surprising postcodes for snapping up a property at bargain prices this year, highlighting a widening gap between sellers’ expectations and the…
Read More
Rightmove logo
Breaking News

Highest demand to lease office space since pre-pandemic

The latest insights from the UK’s number one commercial property website Rightmove, reveals that the number of unique enquiries to lease office space is at its highest point since pre-pandemic, as businesses look for spaces that meet modern requirements. Demand to lease office space is 19% higher than the same period a year ago and…
Read More
Planning disputes on new build land
Estate Agent Talk

Planning consultations for major infrastructure to be streamlined

Robert Bruce, a planning and infrastructure partner at law firm Freeths LLP, said he: “Welcomed the change as a significant step to speeding up the DCO process and the focus on the quality and effectiveness of the consultation, rather than box ticking and a risk averse approach to pre-application consultation due to the current legal…
Read More
Breaking News

‘The property ladder pulls further away’ warns Open Property Group

For many first-time buyers across England, the dream of homeownership continues to slip further out of reach. Despite rising wages, soaring house prices are making it harder than ever to get on the property ladder. A leading UK professional house buying company ‘Open Property Group’ based in Buckinghamshire UK, has raised concerns over the ongoing…
Read More
Estate Agent Talk

How Long It Takes to Buy a House in the UK: 5 Common Delays That Can Slow Down Your Home Purchase

Wondering how long it takes to buy a house in the UK? The average timeline ranges from 8 to 22 weeks, but even that can stretch significantly due to unexpected delays, especially if you’re a first-time buyer or caught in a chain. That’s why working with experienced professionals like Belvoir — one of the UK’s…
Read More
Love or Hate Rightmove
Breaking News

Rightmove to host Renters’ Rights Bill webinar with Guild of Lettings

Rightmove is hosting a live and interactive webinar session with the Guild of Lettings to help agents get Renters’ Rights Ready. The webinar will take place from 10:00am – 11:00am on Wednesday 23rd April. Susie Crolla, Managing Director for the Guild of Lettings, will be joining Rightmove to help agents with questions they may have about…
Read More