Imagine (estate agents living as one) – London Wallet

John Lennon’s haunting song “Imagine” still resonates despite being first released over 50 years ago in 1971. The lyrics invite us to contemplate a more collaborative and forgiving world and though many consider these sentiments to be far too idealistic, particularly for today’s much troubled world, I wonder if there are lessons that we can learn and apply to estate agency.

Now don’t get me wrong, I am absolutely NOT suggesting any anti-competitive behaviour amongst agents – far from it. I still experience the feelings of triumph when I secure a listing in the face of serious competition from other local agents as well as that awful crushing feeling of disaster when a potential vendor client makes the decision to use someone else and has rejected my services despite what I consider to be a compelling and even irresistible proposition! Emotional those these experiences are, I try to remind myself (not always successfully) of two lines from Rudyard Kipling’s brilliant poem “if”…

If you can meet with Triumph and Disaster

And treat those two impostors just the same

No, I’m suggesting that estate agents, even those who see themselves in a constant battle with other agents should at least consider what opportunities may exist to work together when appropriate to the mutual benefit of customers and themselves. “Heresy” you may say, why would you want to work with agents who appear to actively work to your detriment? “They’re all useless and unprofessional” you may also say.. and that statement may even have an element of truth. However, I would urge you to at least consider this idea as it may have a number of short, medium and long term advantages for all of us and not all financial, though that could sometimes be the case.

Only last week I had such an experience. I was in competition with two other estate agents to secure an instruction in a particularly popular part of the market town in which I operate, St.Neots. Despite my valuation being lower and my fees higher than the other two agents I got the instruction at a realistic asking price together with that feeling of “triumph”. I proceeded to organise the AML checks, arrange for the EPC and of course to agree a visit form the professional photographer. However, I also received a telephone call from one of the agents who had “lost” the instruction, firstly to congratulate me on winning the listing and then to offer me a potential buyer who was in fact a recent instruction on his own books. We did not agree a “fee-split” of any sort. Subsequent to the AML checks being satisfied, I arranged a viewing and at the time of writing this article the potential buyers are interested subject to the sale of their own house which has just been reduced in price by £25,000.

So who benefitted from this collaboration?

Well firstly my client, as they secured a viewing from a serious perspective and motivated purchaser who themselves also benefitted from finding a potential new home. Of course, I benefitted, as the arrangement may well lead to a sale. As for the other agent, well although he will not be receiving any commission for this particular potential sale, his vendor client is even more motivated to sell which can only be a positive thing. Finally, our reputations as local property professionals seeking to help buyers and sellers can only have been massively enhanced – a BIG win for a much maligned group such as estate agents!

Of course, it is perfectly possible even desirable sometimes, for there to be direct financial benefits. Fee sharing resulting from a buyer or seller referral can be very lucrative for both the initiating and receiving agent. Affiliation groups such as Relocation Agent Network and Guild of Property Professionals know this very well, generating hundreds of thousands in fees and providing their buyers and sellers with a much enhanced service. My own tiny agency (powered by eXp) has received a number of listing referrals from agents across the country and our own informal eXp grouping in Cambridgeshire regularly exchange buyers and sellers to our mutual benefit even though we technically compete against each other.

But what if you are not a part of any grouping or refuse to cooperate with your local competitors for whatever reason? You can still benefit from a collaborative approach should you adopt the correct mindset. Let’s say you have a buyer who has a house to sell in another area – they may or may not be interested in a property you have available for sale and they may or may not already be up for sale with an agent. How impressed would they be if you offered to do some research on their behalf to find the best agent in their location and even contact a suitable candidate to arrange a marketing appraisal? I would suggest VERY impressed! Over a period of time you may even build up your own network of “recommended” agents from whom you may also receive referrals.

You may already be working collaboratively with other agents and if so, I congratulate you. I’m sure you will be experiencing the significant benefits of such an approach. If not, perhaps you should consider the (slightly amended) words in the final verse of Imagine…

You may say I’m a dreamer

But I’m not the only one

I hope someday you’ll join us

And the estate agency world will live as one