Current Legends:
We thought it would be good to hear some pearls from those whom we all look to for leadership in our industry. Sure they are tough hard nuts and you wouldn’t want to get between them and a deal but outside their vendor representations they are very interesting property blokes who, if you warrant it, will give you the time of day on how to be a good agent. Spend time with any of these guys (sorry couldn’t find any million dollar female legends whom we deal with) – with an open mind and you will learn far more than what a $5000 seminar has to offer, far more than what most property books offer and far more than the latest guru tapes. In fact these guys are the gurus with regards to buying the right home, negotiation and what will grow – unfortunately they are also brilliant selling agents and man managers so if you’re asking the advice specific to a home their company is selling well maybe the guru status does not apply in that instance.
The two questions we asked the Legends were:
1. What will happen next year and why?
2. For younger agents coming on - How do you have the intensity required to be a great agent but get the work/family/personal balance right
Our Words: Bert for many years single handedly kept Buxton Brighton going. Definitely the most well known and universally liked Bayside agent. What as a legend Bert teaches you is that you don’t have to be rude, arrogant and pain in the bum or a liar to be very, very successful in this business. Bert is an incredibly hard worker.
Bert’s Thoughts: This year has been another consistent one for me, the market has kicked back from March onwards. It helps to have been around for 20 years as I have been , most of my business comes through referrals. My thoughts on the market next year are that with interest rates on the rise, prices will stabilize. The shortage of stock has helped keep prices at the higher level. With the clearance rates at around the 80 per cent it has been very positive during spring. Top end properties over 2 million have tightened up , but are still selling.
I think young people getting into the industry today really need to get a position with a very experienced salesperson to learn the ropes early to get a very strong work ethic. I have learnt that you either have it or you don’t have it. The most important thing in real estate which I have told every person who has approached me, is be tough enough to accept rejection. It’s a very tough industry. Reputation is everything.
Our Words: I first did business with Geoff in 1991 when I was buying an office in South Melbourne. I just found him straightforward, warm and upfront. And that is how we have always found Geoff – uncomplicated and successful.
Geoff’s Thoughts: The inner bayside market will remain strong into the commencement of 2010 as the demand exceeds the supply and interest rates remain at very acceptable rates. Time Management, self motivation and satisfaction. There is no better feeling as an agent than when you have a happy buyer, a happy seller and a satisfied agent. Enjoying your job is a big motivator. If you are organized at work then family and personal balance will be organized also. Set your own balance and stick to it.
Our Words: Gerald is regarded by most as the go to man when there is a big property to be talked about – bought, sold, held, developed etc. Gerald is a legend in our minds because of his attention to detail on each and every property he is connected with. Ask him a land size on such and such in Canterbury and he knows it. We don’t think there is a man who has had more top end dealings and is so universally well respected.
Gerald’s Thoughts: I predict we will continue to enjoy strong market conditions during 2010 albeit the activity will be a little calmer. The particularly strong activity of the last three months has been a combination of the traditional spring selling and the build up of properties that would have normally been available from last spring that did not emerge due to the extraordinary world economic turbulence that took place in the second half of 2008. In addition to this we have seen an unprecedented amount of confidence build up in Australia from April/May this year when it became evident that we were not going to experience the conditions of the US and the UK as well as other parts of the world. This confidence is irrespective of rising and continuing to rise interest rates from a very low base.
No one will be a great agent without a very strong work ethic. The benefit today of the assistance available in the form of PA’s and better back up administrative staff give agents more opportunity to cover more ground and free up their time to a much larger degree. It is more important today to plan your activities better and therefore have a better balance in all areas.
Our Words: Iain is the best technical auctioneer we see week in and week out and has been so for many years. An abrasive character at times which keeps you on your toes however looking past that Iain has been a man of strong moral integrity in all his property dealings with us.
Iain’s Thoughts: Off the back of a particularly buoyant 2009, our residential market will commence 2010 in the same upbeat fashion, typified by reasonably tight supply and solid demand from buyers in all sectors. Vendors will still want their ‘pound of flesh’ with Reserve and Asking prices continuing to err on the side of full. As always, Buyers will decide just how motivated they are to enter the market place and Vendors will do the same. Generally speaking, fewer sellers and more buyers mean full prices for Vendors, but lower volume for Agents. Our hope would be for the market to deliver a reasonable volume of listings with solid buyer demand. If the world economy continues to recover, the mood should be quite positive through out 2010.
This balance is almost impossible while you are young, passionate about succeeding and building a following in the market. Working couples often make major commitments to their careers while in their 20s and often become more balanced between their work/home commitments as the ‘children phase’ unfolds. It is difficult, because a successful business does go a long way towards raising a family and funding a happy lifestyle so it is a constant battle. Some ideas that will help in achieving a more balanced approach include limiting late night appointments to certain evenings and planning regular holidays throughout the year. You’re a long time dead!
Our Words: Michael is one of the TOP 3 agents in Melbourne and he is so because of his single mindedness the get the job done. What we have learnt off him is to never close your mind, never lose your cool and never give up.
Mike’s Thoughts: If interest rates remain low and the stock market remains relatively stable then consumer confidence will continue to grow and we should have a good year.
For younger agents coming on - How do you have the intensity required to be a great agent but get the work/family/personal balance right. My advice for an up and coming agent would be to block out at least 6 weeks during quieter times of the year to take holidays with family and friends and work bloody hard for the remainder!
Our Words: Why is Peter a legend? Because he gets the job done, the property gets sold, there are bidders, there is a result. If you go to a Peter Batrouney auction you will almost always see a result – he is brilliant at managing expectations of both sides to a common point.
Thoughts: From my point of view it’s likely to be full steam ahead. Even if we get another interest rate rise and enthusiastic buyers want to talk the market down I don’t think there will be any change. I must stress that I can’t speak for those areas that have more 1st home buyers that influence the market. Overseas money will continue to come in to our safe country to add to the pressure in the market. Even with some of the highest volumes we have seen in the market we were still able to record a success rate of 80+% which must speak volumes for the resilience of the general market. If there is a strong increase in volume next year it may just shift our focus onto working our buyer base more strongly which won’t be a bad thing! We already have a good number of auctions scheduled for February.
Our Words: Everybody knows who James Tostevin is! OK you haven’t heard of him! You’re not involved in property then. James is a marketing machine but we have found personally it is not all froth and bubble – there is substance to him. He works hard, efficiently and he asks the right questions. He then follows ups and communicates –better than almost everybody else. Sort of what most legends do.
James’s Thoughts: Predicting what is likely to occur in 2010 is fraught with danger because the last three years have truly been a roller coaster! Not one real estate agent, property expert, analyst or economist has managed to come vaguely close to predicting how the last three years would unfold. With the widely forecast increase(s) in interest rates the market is likely to level out…I would be very surprised if it continued to surge and increase as it has in 2009 but just as unlikely is a dramatic and frighteningly quick drop in values as we saw in 2008. A steady market is my prediction but the best positioned properties with key attributes/credentials will continue to perform exceptionally well and will consistently achieve about their reserve price(s). The biggest danger following on from a very strong year is simply unrealistic vendors! Real estate to a large degree in 2009 has been able to defy what has been occurring globally economically, I hope a strong market is sustainable in 2010 and, of course, beyond!
Intensity, focus, energy, time management skills and the ability to delegate activities which simply absorb precious time and remove the focus from prospecting, listing and generating gross business revenue will continue to be vitally important for any agent, especially a young agent, to be successful. Blocks of time to concentrate on prospecting and grouping appraisals/appointments where there is a logical sequence to a string of commitments is incredibly important. A tiny percentage of agents seem capable of having this structure in their daily, weekly and monthly schedules. I personally ‘bookend’ my week…I finish earlier on a Monday and Friday and work later on a Tuesday, Wednesday and Thursday and I never ever work on Sundays! I take regular holidays (8-10 weeks a year) so I stay fresh and remove the risk of getting burnt out. Quality time with my five children is an enormous priority as is exercising, either before (normally) or after work to stay fit, healthy and sharp. When I’m at work, I really am at work…I focus intensely on what I am doing. When I’m at home, with my fiancé Simone, or with my beautiful children, family or friends I make sure the time I have with them is truly quality time. I am highly motivated to be successful but not at the expense of everything else that matters in my life!
Our Words: Rob has worked, owned, been involved with a number of the Top End Stonnington Agencies. As a legend what can you best learn from Rob? – balance and family. It’s nice to have a coffee and talk about a deal for half the time and the other half to talk about family. Rob gets it!
Rob’s Thoughts: Prices will level out in the market. Growth will be more likely 5-10 percent than the 20 plus percent we have seen this year. With interest rates continuing to rise possibly between 1 – 2 percent expect better buying opportunities in the 1.5 – 4 million price bracket. With added strength in the dollar, overseas buyers will be more discerning with what they pay for their property; however the market overall will remain firm and steady given the constant flow of expatriates returning home and exceptional demand for quality family homes.
Prioritize daily to what is most important in my life. Family and health will always come first. Set my day up between 6am & 8am each morning. Have an hour of my own time each day whether that is exercising, reading or contemplating. I always have the big rocks or goals set in writing for the following twelve months which embraces family, health, business, financial, personal growth and contribution. This allows me to maintain my daily intensity. I include in this going overseas twice per year incorporating 10 weeks free time with Cathie my wife, four sons and myself. Business appointments, appraisals and auctions can be planned accordingly therefore never missing out on significant family, social and other events. Delegate, Delegate and Delegate. ABC Always Be in Control
Our Words: In our opinion James is the best man or woman manager we see; hence Marshall White’s position. James is also an extremely generous and open man and has helped a number of our advocates with additional training and advice. On a personal note I have appreciated his guidance when faced with difficult challenges and issues – buyer advocacy is still in its infancy to some extent and James has embraced the concept and assisted our company to grow – no money has changed hands, we do not buy a lot more homes off Marshall White, we have criticized them at times in our Market News - so why does he help? Because James is a thinker and not all agents are insular, selfish and bad people.
James’s Thoughts: In my opinion the residential real estate market will continue to see solid activity, certainly for the first half of next year, possibly settling in the second half as a result of interest rate rises and a general easing of demand.
As young agents start in the industry, one should expect to work 6 days per week for the first 4 to 5 years, to establish reasonable momentum. Once this momentum is established it is then imperative that you take sufficient time to rest and reward yourself, ideally two full days off per week and great holidays. Time should be reserved to nurture relationships – to equate quality time to your kids and allow suitable “me” time each week.
Our Words: John is another thinker – a man of considerable assets outside his business – shows that he doesn’t just sell property and “piss the commission up against the wall”. John invests and has been doing so for years. The smartest property guys are not necessarily the biggest listers or the ones who work the longest hours. Work smarter not harder is something John lives and breathes and yes he is a great auctioneer in the heat of the battle.
John’s Thoughts: Given the strength of the finish of the market this year, I see no reason for the market not to continue in the same vein in 2010. The underlying stability of our economy, the fact that interest rates are still low, the improving share market and with the net population growth of Victoria still rising – I see 2010 as being a positive and good year for real estate across Melbourne.
For younger agents coming on:
My advice to young agents is – in this business you need 3 things:
1) The fire in the belly
2) The love of the industry, and
3) The energy to work effectively in this industry.
If you do not enjoy what you are doing and you do not love dealing with people – and you do not like long hours, hard work, incredible highs and sometimes dreadful lows – this is not the business for you to be in. This business rewards those who put in and the rewards can be very lucrative.
From a family and personal point of view, you need to stay fit – in my nearly 30 years in this industry, I always like to have family time on Friday nights – as Saturday is show time and this is the day that you have to be at your tip top best. Holidays should be planned 12 months in advance so you do not forget to have the right balance of time with your family and those who support you the most.
Our words: We have outlined them in the most improved agency section of the awards.
Jonathan’s thoughts: I believe the market will continue to perform strongly. Interest rates are still at commercial levels, demand is still strong and there is a lot of overseas interest in the local market.
For young agents it’s a calling that either you are or are not suited to. They must have the intensity to meet the competition and realise this is another service industry which is often overlooked by younger aspirants. It’s important that they chart their holidays; i.e. at the end of each quarter they take a week’s holiday so that they often have a goal to look forward to in an industry which is almost a 24/7 one. They must have an understanding principle that realises one must not live to work but work to live.