TAP 144. Terrific Tools For a Tough Market. An Interview with Garth Makowski
While this show goes out to thousands of agents every month in more than 100 countries, I understand the strength of the property market will differ from place to place.
In Toronto, where I live, the market is strong with multiple buyers competing to purchase up to $2 million.
But things aren’t so strong in Auckland, Melbourne and Sydney and after a 25-year boom, the cycle has turned and competition for real estate is not as strong.
So, with many of my listeners in Australia and NZ I want to dedicate this episode to getting results in a changing market and my guest for this week, as you’ll soon discover, is not only ready for change but excited about the opportunities it’s delivering.
So let me make a few observations:
1. The current changes we’re seeing are part of a cycle. There’s no way such high levels of property growth can be sustained long term. Sooner or later there’s a correction. There’s nothing wrong with it. It’s a cycle just like the tide and the seasons. Let’s remember, it’s been good for a long time.
2. When the market softens, prices fall but the actual number of properties coming onto the market falls as well. Which is where most agents feel the pinch. The frenzy of competing buyers which fuels the volume of properties hitting the market is no longer so strong.
3. I have no data to back this up but I’m going to estimate that 90% of agents selling real estate today have never experienced a tough market which means many don’t have the skill set required to get results for their clients. And here’s something weird I’ve noticed. I’m going to call it MGS or Market Guilt Syndrome. I notice many inexperienced agents, for reasons I can’t understand, blame themselves for what’s happening. So let’s accept the market is not your fault and you’re not responsible. But what you are responsible for is helping your sellers achieve the best real estate solution they can get.
4. When you list a property for sale, your client, and let’s assume they’re motivated and need to sell, have chosen you to deliver a result. What I’m saying is you have a moral and ethical obligation to get them sold for the best price inside your average days on market time.
To make this happen, you’re going to need to have what today’s guest calls REAL DISCUSSIONS and probably more than one or two.
This is all around managing your seller’s expectations and getting their price into the likely selling range. This takes courage and skill as many agents are discovering but here’s the thing: If you can quickly develop these skills, you’ll not only survive and thrive in a down market, you and your brand will be beautifully positioned once things turn around.
You need to give your sellers cold hard evidence that their price is too high. Your evidence might come in the form of days on market, the number of unique online visits which fail to convert to physical showings or good old buyer feedback.
And I know these strategies work and work well as they’re a regular topic in our Private Client Group.
5. Getting your head right is essential in a tough market and I’ve learned so much working with Mindset Coach Jet Xavier in the last 6 months. Jet’s ideas and mindset tactics are tailored to agents. That inside voice that sits on your shoulder and tells you that you can’t do something has destroyed many real estate careers. But long story short, Jet has a strategy for every situation. In fact, if you download his top 7 mindset hacks at TopAgentsMindset.com you’ll see what I mean. It’s a short cheatsheet with his best mindset ideas.
My guest today is a formidable force in his market and a major influencer in the Australian real estate scene. He has an impressive and highly successful approach to current market conditions and I know for a fact that many agents who employ his strategies are doing very well.
And even though his market has softened, he’s full steam ahead and aims to write more than $2 million in GCI this calendar year.
I have the feeling this interview is going to be on high rotation and make sure you listen out for his short role play scripts which you’ll want to learn and use ASAP.