REALas Australia’s most accurate property price predictions
REALas Australia’s most accurate property price predictions

Why You Should Trust a Real Estate Agent

Why You Should Trust a Real Estate Agent
October 22, 2015 Josh Rowe

Why You Should Trust a Real Estate Agent

Real estate agents are one of the least trusted professions, only marginally better than car sales and advertising people.

Why are real estate agents perceived to be untrustworthy?

Home buyers may cite underquoting as a major grievance.  Whilst agents may suggest buyers and vendors are liars.

Real estate agents will argue that their customer is the vendor.  However, estate agents have the most to gain from serving themselves first.

“it’s not in the real estate agent’s best interests to get you the best price for your home … they want a good price, but they want a quick sale. It is far more profitable to get you to take the first reasonable offer that comes along, than wait another week or two and get $310,000 instead of $300,000” – Why you can’t trust a real estate agent

For agents that want to move onto their next sale (and commission) it is critically important that the asking price which they communicate to home buyers and home sellers is in the same ball park.

Otherwise, someone’s expectations will be out of whack; the home buyer, the home seller or even both.

This is where real estate agent trust dissolves.

Home buyers and sellers will have more trust in real estate agents which communicate transparently, honestly and consistently about price.

These are the real estate agents which achieved the highest level of accuracy for auction sales in Victoria and New South Wales in September 2015.

NSW Accurate Real Estate Agents Sold Price vs Agent Quote Sold Price vs realAs.com
1 McGrath – Warners Bay 6.1% 5.3%
2 LJ Hooker – Kellyville / Stanhope Gardens / Rouse Hill 8.1% 9.0%
3 McGrath – Parramatta 9.3% 8.3%
4 McGrath – Ballina 9.6% 5.6%
5 McGrath – Manly 10.3% 6.5%
6 Starr Partners – Blacktown 10.7% 6.5%
7 Wiseberry – Acclaim Prestons 11.3% 2.7%
8 BresicWhitney – Darlinghurst 11.8% 5.4%
9 Cunninghams Property – Balgowlah 12.0% 4.6%
10 McGrath – Inner West – Leichhardt 12.1% 5.4%
Source: realAs.com September 2015

 

VIC Accurate Real Estate Agents Sold Price vs Agent Quote Sold Price vs realAs.com
1 Williams Real Estate – Williamstown 9.7% 6.9%
2 Nelson Alexander – Pascoe Vale 9.8% 9.1%
3 EJ Love Real Estate – Thornbury 10.2% 5.9%
4 Nelson Alexander – Carlton North 10.8% 8.4%
5 Hocking Stuart – Richmond 11.9% 9.5%
6 Nelson Alexander – Fitzroy 12.4% 7.1%
7 YPA Estate Agents – Craigieburn 12.4% 3.8%
8 Chisholm and Gamon – Black Rock 13.5% 5.9%
9 Sweeney Estate Agents – Point Cook & Altona 13.6% 4.4%
10 Brad Teal – Pascoe Vale South 13.7% 5.5%
Source: realAs.com September 2015

 

With respect to the survey:

  • it is for auctions in September 2015
  • from Victoria and New South Wales
  • only real estate agencies with 4 or more publicly available quotes and auction results were included
  • the “Sold Price vs Agent Quote” is the average percentage difference between the sold price and the public agency quote
  • the “Sold Price vs realAs.com” is the average percentage difference between the sold price and the realAs.com prediction

 

 

  • property values

    The views and opinions expressed in this communication are those of the author and may not necessarily state or reflect those of REALas.


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