Moderator:
Kymber Lovett-Menkiti, President, Keller Williams Capital Properties, Washington D.C.; Broker Relations Liaison, National Association of REALTORS®
Panelists:
Christian Barnes, President/CEO, Better Homes and Gardens Real Estate Kansas City Homes, Overland Park, Kansas
Howard W. (Hoby) Hanna, President, Howard Hanna Real Estate Services, Pittsburgh, Pennsylvania
Nancy Robinson, Vice President of Sales, Christies International Real Estate Sereno, Los Gatos, California
Mike Burns, Broker/Owner, REMAX Professionals, Littleton, Colorado
Kymber Lovett-Menkiti: Interest rates have risen from a historic floor and real estate sales have begun to normalize after the chaos of the last two-plus years. For some, it’s a respite from a frantic pace. For others it’s a worrying signal. But those who’ve been around long enough to weather years of market cycling understand that the sky is not falling—that there’s plenty of business for well-trained agents with initiative and a realistic outlook. Today we’re checking in with a sampling of brokers from across the country to see what they are doing to support their agents amid this changing environment. Chris, what do you see in Middle America?
Christian Barnes: First off, you are right, Kymber. This is not 2008. We need to get past the headlines and bear in mind that all real estate is local, and what we see is a pretty healthy market. The average selling price is down slightly, but inventory remains tight. We are still seeing multiple offers—maybe two or three instead of the 15 a year ago, but there is more room for negotiation and more opportunity for discouraged buyers who were shut out during the chaos.
Hoby Hanna: There is no gloom and doom in today’s market, regardless of the headlines. It’s a realistic environment, fairly comparable to what we saw in 2019. Inventory is low, and buyer demand is strong, so there’s plenty of business to be had. We need to control the message, focus on the basics, and do some serious goal setting.
Nancy Robinson: It isn’t the market of 2021, but agents who haven’t experienced a transitional market need to focus on the local data. Buyers and sellers want connection, and sales in our area are strong. We encourage our agents to stay abreast, embrace their social platforms and lean into their sphere.
Mike Burns: Of the 1,265 new listings in the metro Denver market in recent months, 1,150 were sold. If that’s not a robust market, I don’t know what is. Buyers are looking for value, as always, and sellers are having to be more realistic about objections. But the average selling price has remained fairly stable, and the mood is good overall.
KLM: My mindset as a leader is on framing the message: There are plenty of home sales happening now. Here’s how to get your fair share.
MB: Some agents are still a little in shock about how quickly the market changed. Education is key to getting past that. How to price appropriately. Alternative financing options. Connecting in meaningful ways.
NR: This is the time to work where you play—a time to engage and connect. Be more visible where people know you. Join new groups and volunteer. It’s back to basics with a new spin. As leaders, we are bringing in economists and other speakers, but we are also providing new resources, like a “reel room,” where agents can produce short videos for their social media platforms.
CB: The business is there, but this is not a passive market. Agents need to find new ways to stay in touch with their sphere. Make more phone calls on birthdays and holidays. Knock on doors to say hello or deliver a gift. Host a contest and offer a prize you can promote on social media. And when you connect, be the local market expert. Take advantage of every resource.
HH: We Hannas have always focused on fundamentals—and on putting the tools and resources in our agents’ arsenals to ensure they are the local experts. Our mortgage rate reducer has been part of our culture since 1982. In this environment, it’s a useful tool to help buyers reduce their interest rate for the first two years before converting to a 30-year mortgage. We also have a 100 percent money-back guarantee. If a buyer is unhappy with their purchase during the first year of ownership, we’ll buy it back for the price they paid. Those are powerful incentives for buyers who are standing back and waiting for dramatic price drops.
KLM: This is also a time for aggressive business planning. It will take more effort on the part of every agent to set and meet their goals. But the market is far from falling off a cliff, and it’s our job to give our agents the support they need to maximize opportunity.
CB: The crazy pace of the last couple of years was not sustainable. Most buyers and sellers understand that. We are getting back to a pre-COVID-19 mindset and taking a realistic approach.
NR: Open forums are a good way for agents to share concerns and get workable solutions to the challenge.
HH: We believe in the housing market in any environment—and challenge has its rewards.
For more information, visit https://nar.realtor.
