Why are Real Estate Agents Incompetent?
In a recent InMan News* survey members were asked: In your opinion what are the major challenges the real estate industry is facing?
- 77% of the respondents reported it is Low Quality Agents.
*Inman News is the industry’s leading source of real estate information for real estate professionals.
This finding from Inman News is consistent with the DANGER REPORT from the National Association of Realtors which also found that “masses of marginal agents” were the no. 1 threat to the industry.
3 Reasons for Incompetent Real Estate Agents:
- Part-Time Agents
- Low Barrier of Entry
- Agents have been in the business for too long and have not kept current with technology and consumer needs.
11 proposals for weeding out shoddy real estate agents (Inman News)
- Increase Realtor association dues
- Raise Realtor education requirements
- Increase real estate license fees
- Require real estate agents to demonstrate productivity
- Require real estate agents or Realtors to graduate college
- Make it harder to qualify for a real estate license
- Require agents to apprentice under a broker
- Beef up regulators’ real estate complaint process
- Beef up Realtor ethics complaint process
- Make it easy to find out if an agent has committed infractions
- Educate consumers on how to choose a real estate agent
The very best approach to weeding out an incompetent real estate agent is to remove the absurd monetary incentive (commission) associated with a single real estate transaction. The occupation of real estate is a profession and we should charge a professional FIXED FEE, like a doctor.
The above 11 proposed ideas help but a surefire way to discourage incompetency is to make it impossible for an agent to craft enough commission from a single real estate tranasction to supplement an income. Real estate is a passion exemplified by a full time professional REALTOR. Real estate is more than a nine to five job. REALTORS live, breathe and continuously think how we can make the selling experience better for home sellers and buyers.
The benefits to reducing the transaction cost is 2-fold:
- It weeds out incompetent agents and guarantees home buyers and sellers a more profitable experience.
A real estate professional (REALTOR) competing on price and delivering a high level quality service should be encouraged and rewarded by the industry with longevity and consumer loyalty.