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Consumer Perceptions of Real Estate Agents

Kylie Davis, Head of Real Estate Solutions

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9% of respondents in the Roy Morgan Image of Professions Survey claim Real Estate Agents are trustworthy.

* Image of Professions 2015 based on general sample of 564 respondents

Is this guy the industry?

Who we surveyed

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300 total respondents across 6 weeks of collection via social media and email.

266 average answers per question.

54% sold within past 2 years

All states represented

The industry needs a benchmarkThe aim of the survey was to start to collect data that captures vendors experiences so it can set goals to improve those experiences.

54%

A typical bunch of vendors

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11%

How they chose an agent

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You are being watched:Vendors are judging how you handle open for inspections and auctions. They are deciding about you well before you pitch them.

Who had a pretty good result

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Price is not the only thingGetting an expected or good price is important, but is a hygiene factor for vendors. Agent need to demonstrate other behaviours as well as deliver on price to delight vendors.

The good news

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10%

66% 34%But it’s not good enoughNearly one in three vendors has an average or bad experience with their agent. This figure is too high.

The downhill slide

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Delivering as expected is vitalVendors start off optimistic but too many agents still fail to follow through or honour commitments which seriously downgrades vendor satisfaction across the sale process.

Data is more powerful than opinion

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Direct knowledge – don’t suppress itVendors can find this information out on their own. But agents who direct clients to reliable sources and explain and demonstrate their own knowledge build trust.

21%Did NOT present any information about recent sales to the vendor

49%Did NOT show recent sales by their agency to the vendor.

72%Of agents did NOT show average time on market in their area to their vendor.

1. Behaviours to improve service

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No bulls*&@!Vendors smell it a mile off. It is the fastest way to guarantee an angry and disappointed client. Be honest, open and transparent – especially around price expectations – and use data to back your position because vendors are increasingly doing their own homework.

55%Of vendors said they read up on local market conditions before selling.

11%Said the customer service from their agent was POOR.

31%Of vendors said they WOULD NOT recommend their agent.

2. Behaviours to improve service

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Be accountable and consistentDo everything you say you will do. Regular contact and follow up is essential, even if the news is not what the vendor wants to hear.

13%Of vendors rated their agent’s ability to provide progress feedback was POOR.

15%Of vendors rated their agent’s ability to follow up on leads as POOR.

13%Of vendors rated their agent’s ability to negotiate as POOR.

3. Behaviours to improve service

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Improve the end-to-end experienceThe relationship is not over until the new buyer has moved into their home – not when the sale contract is signed. Remember, they are judging your performance all the way through and deciding whether to be in a long-term relationship.

17%Of vendors were upset with their agent after the sale.

37%Of vendors neverwant to use you again.

21%Said their agent gave them little or no helpin understanding the sales process.

Clients for life?

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Vendors desire long term relationships Using, or reusing, an agent they know and trust is preferred by the majority of vendors but you need to stay in contact and make that contact valuable.

If they stay in area and if you ask them.

Don’t try to avoid it

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Vendors are getting smarterExpect higher levels of market smarts and awareness from more vendors in the future.

Favourite quotes

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My high expectations were met by my agent. I didn’t need to experience anything out of the ordinary to be happy with the service – I just needed the agent to do what he said he would do.

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Our agent followed up on everything and was proactive with all communications to me. I never had to initiate contact to find out informaiton – she provided feedback regularly and promptly.

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The next time we sell a home we will use the same real estate agent –no need for comparison. He’s the one that we highly recommend to others and would use again, no question asked. He is very honest and upfront and provides full information about the sale, and the completion of the sale.

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Thank you!

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Kylie DavisHead of Real Estate SolutionsCoreLogic

Kylie.davis@corelogic.com.au@KDavisCoreLogic

Download the full report at:http://www.corelogic.com.au/news/perceptions-of-real-estate-agents