Burn It Down: Out with the Old, In with the New (Inventory)

This week, WSS Master Coach Paul Sessum hosted fellow Master Coaches Kaprice Gunn and Mike Coke in our April webinar to tackle one of the most pressing issues in real estate today: generating new listings in a low-inventory market. We’ve heard the doom-and-gloom news reports about lean inventory, and we’ve seen home prices rise to sometimes astonishing levels. Meanwhile, buyers must compete in multiple-offer situations and bidding wars they can’t always win. How can we help buyers find the homes they need in these conditions?

Paul, Kaprice, and Mike suggest radically rethinking what you know (or think you know) about real estate. In doing so, they invoked the specter of the 2007-2008 real estate crash. Obviously, we are working in much different circumstances now, but we could learn a lesson from 15 years ago. The agents who thrived the most at that time were those who were versatile and able to adapt. The same is true now. So what should you do?

Many of us have a set of beliefs that guide our business strategy. These beliefs are often based on personal experience and are certainly valuable in navigating challenges. But others are little more than superstitions or old wives’ tales. For example, we’ve all been hearing that “there is no inventory.” But national data tell us that homes are selling at a nearly unprecedented rate. So in reality, there is inventory; it only feels like there is none because it flies off the shelves so quickly. The problem, therefore, is not inventory, it’s that current market times are dramatically shorter than they were a year or even six months ago.

If we are to be successful at this time, we need to replace unproductive beliefs with data-driven strategies. There is strong demand for real estate, and sales continue to happen. So what strategies for generating listings in your area could you employ? What kind of business could you be doing if you got out of a limiting mindset and started taking control?

As a real estate professional, you have a responsibility to be an expert in the field for the benefit of your clients. Buyers who are getting frustrated because they can’t seem to find the right home or keep getting outbid are going to look to you for guidance in navigating this market. But you’re only human, and you aren’t going to know all the answers. What can you do?

One solution is to regularly collaborate with other agents. Look to agents on your team, on your local real estate board, or from part of a larger network. Don’t be shy about spearheading a mastermind group if none in your area exist. The more you are able to hear the expertise and wisdom of diverse agents, the better resource you’ll be to your clients.

Whatever you choose to burn down, be careful to leave your fundamentals in place! It can be tempting to chase the latest shiny object (especially in difficult markets) but it is in the difficult times that fundamentals are the most important. That said, now may be the perfect time to reinvent some of those fundamentals to generate success.

For example, your typical strategies for generating listings might not be working now. That is not an indication to abandon listings altogether. Instead, it’s an opportunity to revisit what you are doing and try something different. Remember: there are many eager buyers, and prices are strongly favoring sellers, so what could you do to bring these two groups of people together? With determination and creativity, you can rock this market – and any market!

If you’re not sure what to do to keep your business successful right now, it might be time to burn down what you know and rebuild – which might very well seem like a daunting task. But with a trusted and experienced mentor at your side, you can approach this new stage of your business with confidence. Contact us today at (385) 282-7112 to schedule a free business analysis and see if real estate coaching is the right move for you.

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