Being a real estate agent is arguably one of the most lucrative part-time jobs one can ever have. This business has survived many years of oppression and a harsh operating environment. But, the coming of new methods of buying real estate has revolutionized the real estate industry.
In particular, the traditional means of buying real estate property has been affected negatively. Of course, the coming of the internet has caused most traditional real estate agents to raise their eyebrows. But, there are two sides of the coin that you have to consider. Perhaps not all hope has been lost for real estate agents. Here is an in-depth look at both sides of the coin.
What is the future of Estate Agent Costs?
The coming of the social media sites; if you are a real estate agent and you hear of new online real estate trading platforms, you will obviously raise eyebrows and wonder if you are still going to remain in business or not. The simple fact is that you will face a huge challenge to outwit the online real estate trading platforms. A good number of property buyers and sellers across the UK are currently shifting from the use of agents. For example, the use of Facebook or even Twitter to promote a property is quite common. You can actually advertise the sale of a property at no cost. Therefore, social media sites are the ones that will pose a threat to the continued existence of online real estate agents.
The use of online real estate trading platforms that are free; some online real estate trading platforms can be used for free. In such cases, the site owners are only interested in driving traffic to the website for internet marketing purposes or running PPC ads. Such sites can push real estate agents out of the business and they are slowly succeeding.
Countering the challenges; well, if you cannot beat them, see to it that you join them. In an era where the internet is the main platform for doing any kind of business, real estate agents have also taken over the internet. The UK has dozens of such sites including Yopa and Emoov. These online real estate agents are making millions because they offer a range of dedicated services which the free sites and social media networks do not offer. Therefore, it is still possible to penetrate the real estate market as an agent and this has been shown recently by newcomers to the Southend on sea estate agent market – with Bear Estate Agents Southend.
Fixed or a Percentage?
Real estate agents can choose to have fixed charges or percentage based charges. The latter is not often preferred by most clients as it causes agents to earn a lot of money. On the other hand, there is no room for bargaining when it comes to the fixed price fee. Real estate agents with fixed charges are shunned if their charges are high. A percentage charge is merely getting a fraction of the money involved in the sale of a property. This may be high or low depending on the amount of money involved. Most clients may prefer to go for the fixed price fee because it often appears more reasonable than the percentage charge. Therefore, a good number of real estate agents are switching to the fixed charge system as it appears more rational to most clients. We’ve seen a huge uplift in vendors deciding to use lower cost and non-traditional estate agents to sell their homes – that is exactly Bear Estate Agents in Southend have been able to provide for homeowners in Essex.