Bonzai Real Estate Blog

As I read different parts of the online conversation regarding real estate it strikes me that something great is happening underneath the back and forth that's part of a greater change. Sean Purcell wrote a great article at Bloodhound that made me think about how imortant it is for the new professional to be more than a "salesperson" in order to be an excellent salesperson. True, at a basic level, real estate is about sales, and unless one suffers from delusions of grandeur, it pays not to inflate professional acts into something over-glorified, but as individuals dealing with individuals in the process of buying and selling real estate, the application of our skills is dependent on our minds and how to artfully get from A to Z.

I believe the process is less dependent on formulaic steps that need to be memorized and mechanically practiced and more dependent on the adaptive process each sitaution calls for. "How-to" procedures are effective for someone who is beginning in order to understand basics, but basics are just that, the raw beginning. In order to be a professional who is daily in the process of mastering the skills of sales and service provision, a basic foundation is merely the starting point-- if an agent stops at the basics, there are no unique structure and systems built to distinguish one agent from another and it creates a situation where all agents are at risk of being replaced with technology.

The new professional is a value producer, if the agent is not producing value then the market will squeeze the agent out as efficiency improves. In order to be a value producer an agent must go far beyond the basics to innovatively and actively become an integral part of the real estate buying and selling process, and the agent must have such a broad understanding of the process that he/she can communicate this to consumers and actually deliver it in style. If technology is smarter than the agent, then the agent is lost. However, if an agent understands technology and how humans are affected by it, use it, need it or perhaps even misguided by it, then the agent can creatively use technology rather than be pushed out by it.

It seems people will use technology over people if it's less expensive and easier, and service has no value. If a homebuyer can access listings, gather information and buy real estate directly with no value of service in the middle, then agents are in trouble. This has been a promise that so far hasn't materialized but technology is improving all the time. I hear agents say that service will always be needed because many people don't have the time, knowledge, skills or the willingness to utilize technology to buy and sell directly -- but more people will benefit and use it if technology is improved and presented as easy and efficient. However, as technology in real esate buying and selling stands right now, what is presented is just the basics for buyers and sellers. There is far more involved in buying and selling real estate than access to listings and information and the ability to buy directly.

So, you have agents who possess the basic skills of their profession and consumers who have access to the basic technology for gathering information. Where the value lies in beyond the basics of agent skills and consumer use of technology -- it's in the art of a successful and profitable transaction. Artfulness is valuable -- people pay money for things of value because they receive some kind of reward from the value. A beautiful painting can offer a spiritual, intellectual or emotional reward, a well written book can have intellectual, emotional and spiritual rewards, and artful builder can offer the reward of creating a home that goes beyond shelter to  spiritual, emotional and intellectual appreciation and enjoyment. The value in all these creations is the artfulness, the uniqueness, the quality.

What's missing in raw technology is artfulness. So far, artfulness is present only when the human touch is present, other than what's already present in nature and you believe it's the handiwork of a Creator. Otherwise, artfulness is associated with human creations. The new professional who uses technology artfully to create successful and profitable transactions is providing value. It's my belief, and this is where Sean's article inspired me to write about this, that agents need to aspire to the Renaissance ideal in order to be greater than technology. There needs to be an understanding of psychology in it's broad meaning, an understanding of economics, of transparency, of service, of technology, of construction basics, of communication (written and verbal), of politics (especially at the local and state level), of design and styles, of trends, of financing, and most of all themselves and their movitations.

An intelligent, knowledgeable, artful agent will be smarter than technology and know how to manipulate it to the client's advantage. An artful agent will know how to adapt to each  situation rather than be bound by basic steps that don't always fit unique situations. In this age of personalization it takes something extra to impress sophisticated consumers who are designing their lifestyles. In spite of the news that citizens of the US are suffering financially, there is a lot of wealth in this country and as the baby boomers begin to retire or buy second homes, they are discerning, knowledgable and demanding. In order to communicate to these consumers, a well-rounded education (even if it's auto-didactic) is necessary to present the unique value that will transcend the basics of realtor skills and give purpose and context to the consumers basic use of technology.

The personal touch is still critical, but the touch must be special and excellent in order to be seen as valuable. Being seen as a trusted professional who is not only an area expert, but a person to be intellectually reckoned with will raise the perception of agents to a higher level that consumers can respect and rely on. This seems high-falutin and as if I'm describing an elite level of service, and I am suggesting the level of service must be raised. When I interview a lawyer for legal work I want the one who seems smartest and well-rounded. There is something comforting knowing you are working with a person who has an active mind and can converse intelligently on different topics -- it's a display of artful fulfillment of a job, a confidence is created that this person knows things and will actively apply their mind to the solution of a problem rather than apply steps and formulas.

It's the difference between a bureaucrat and an entrpreneur, between a clerk and a problem solver, between an order taker and an innovator. And if the person I'm dealing with is confident in their knowledge and well-rounded accomplishmnets and it comes out in their personality as self-assurance based on something real and earned, it instills confidence in me and allows me to recognize the value.

Someone who has an active mind and diverse interests seems better equipped to make connections that create that adaptive approach to problem solving and service provision -- you know they are thinking, connecting, working toward the best solution. This, to me, is what consumers want, someone who can go beyond the basics to utilize technology and knowledge to create the best transaction possible -- this is what consumers will pay for.