Editor’s note: In this two-part series, we take a look at how the buyer experience differs today from past years. Today is a look back at how the process evolved to where it is now. On Wednesday we review how tech has impacted everything, and the skills required to serve luxury-market clients.
When you think about it, the pathway to buying a home just one generation ago seems like it was the Stone Age compared to how the process plays out today. A crude internet and virtually no tech for buyers to access information put them in a position of having to simply accept being told what homes were available instead of finding out themselves as they almost always can now via today’s portal giants.
Even old coots and codgers proclaiming how in their day everything was better must admit that today’s ways and means for buying and selling residential real estate easily trump those of yesteryear. Who even remembers the listings binders published weekly and mailed to brokers?
That said, agents and brokers provided RISMedia with various opinions about what they do now and what client expectations are compared with even just a few years ago. As with most other professions, the ability to evolve with the times and buyers of all ages is crucial.
“The demographic of who is buying (and selling) is older,” says Pam Rosser Thistle with Berkshire Hathaway HomeServices Fox & Roach, REALTORS® in Philadelphia. “These people like to talk, in person and on the phone. Technology is an enhancement, time saver and keeps all organized. But my ‘new approach’ is a lot of talking…the human touch. Respecting that starting a new chapter is a major milestone and often emotional. It’s not exactly new for me. But I am realizing not everyone handles their business in such a personal way.”
Jeffrey Decatur, a longtime broker associate with REMAX Capital in upstate New York, laments how many buyers with information gleaned from the internet think they’re as knowledgeable as industry professionals.
“We all come across potential clients who think they know how to do our job better than we do, or that it is easy,” he says. “They are more informed than in the past, and more aware of how they are paying our compensation. But they think because they have access to more and more information that they know what they are doing.
“It takes a lot of work to get past that. It is imperative that we as agents demonstrate our importance and be transparent in exacting detail what we are doing for them. Finding a house is more than looking at three houses. I detail every step and put a timeframe on it. Transparency, accountability and trust are key.”
Erwin Nicholas, broker/founder at Mr. Real Estate in Houston, Texas, often works within the luxury realm. He explains that while the barrier to entry may be simple, delivering true value is extremely high.
“With so many agents in the industry, I focus on creating real, differentiated value—the kind that buyers and sellers immediately recognize once they experience it,” he says. “Most clients don’t truly understand what a great agent or broker does until they work with one. And in the luxury space, that difference is unmistakable.
“Five to 10 years ago, the buyer experience was centered on access. Today, it’s centered on expertise, protection, global positioning and a broker’s ability to engineer outcomes that clients cannot create on their own.”
His strategies include:
- Personally negotiating every deal with the precision and discretion expected in luxury and celebrity transactions
- Leveraging a global network across entertainment, sports, international real estate and high-net-worth circles
- Turning properties into stories that drive global attention and premium value
- Anticipating issues before they arise and structuring deals that minimize risk for clients whose time, privacy and capital are extremely valuable
“Today’s buyers care less about being ‘sold’ and more about being protected, advised and elevated by someone who understands their world,” he says. “They want a broker who can deliver both privacy and influence, both strategy and execution. That’s why my approach is hands-on and highly intentional. Clients don’t need me to talk about my value. They feel it in the results, the experience and the outcomes that speak for themselves.”
How the job has evolved
Jules Garcia with Coldwell Banker Warburg in New York City points out that agents overall are both electively joining and being “voluntold” to join the more tech-enabled real estate landscape.
“The advent of more data-driven search tools, improved search algorithms, AI assistants and social media content have increased the readily available information and therefore added more/increased the level of sophistication (in) questions from buyers,” he says. “This means both listing agents and their sellers have to be a lot more prepared for a greater degree of discernment from prospective buyers.”
Garcia notes that the last five years have brought some notable changes to the real estate landscape.
“We are probably doing fewer virtual tours because five years ago we still had pandemic concerns that limited some in-person showings,” he says. “We’ve also leaned into social media more. It’s no longer a nice-to-have; it’s becoming a core part of the marketing and dissemination of information to our client base. There’s some great real estate content on social media, but just like with any other platform, there’s also bad actors putting out misinformation.
“One of the mandates for my team is to put more educational content out via social media. Prospective buyers and sellers alike are hungry for helpful data in an easily digestible fashion. Think of short, genuine-data, and impactful digital amuse-bouche (one bite)! We’re also investing a lot in our AI capabilities, with the aim being to make the buying and selling process as efficient and well-informed as possible while maintaining the human touch.”
Perhaps more so with a co-op, which can be just one of several dozen or more in a building, as opposed to a freestanding house, buyers aren’t just asking about commute-proximity, insurance or energy costs—but are also more value-conscious than ever.
“I’m hearing more and more buyers talk about a property’s intrinsic value and request more total cost of ownership analysis,” he says. “These are terms that you’d often hear more when considering stocks, bonds or alternative investments than from homebuyers.”
Also, he adds, more buyers run an AI analysis on the brokerage as part of their vetting process, asking AI assistants to rate it based on responsiveness, local knowledge, process expertise, career background, team dynamic and negotiation skills.
Decatur gives an example of precisely how he feels an agent should illustrate what they are doing for a client.
“Don’t just say ‘I will go back to my office and write up the offer.’ Set an expectation and a timeframe, like ‘I will get back to the office in about 15 minutes after leaving this showing, then it will take me about 30-45 minutes to review comps and email them to you. Then I will prepare our draft offer, which should take about 30-45 minutes. Then we will go over it, which should take about an hour, depending on questions, then set it up in digital signatures, yada, yada.’
“This is managing expectations and educating clients on how long things actually take us. Since doing this with clients, I have had a sharp decrease in comments about how much I earn. Or how easy my job is. A lot of clients think because we are friendly and I like looking at houses that this is fun, but for me, the agent, it is work. My clients know I am not just opening a couple of doors and making a bucket of money.”
