Something that came out of the DOS’s guidance on broker fees related to the rent laws passed in June is how slimy and greedy the general public thinks real estate brokers, particularly rental brokers, are. And I get it — there are two versions of us that the average person knows. First, they see the agents on shows like Million Dollar Listing making shittons of money for what appears to be very minimal work (another reason I think the inclusion of more types of agents who do different types of business is important). And second, they see the shitty rental broker they paid a 15% fee for going direct to, who didn’t adequately explain dual agency (ok, let’s be real, didn’t explain it at all) and who put them in an apartment with an unresponsive, bad landlord, then never answered their calls again. I’ve seen both of these in my career so I understand why the public has this perception.
But the reality is that many, many agents are ethical, intelligent small business owners. And over my past two years at Compass I think this industry has made me a better person. I don’t know if this would be the case had I worked with anyone besides Joe and Kelly anywhere besides Compass. Hence my writing this during “Compass Month” where I waterboard myself with pro-Compass KoolAid (does this track? I’m convinced I have mono and my brain is broken).
I know this isn’t the case for everyone in the industry. When I was getting my license I had dinner with a friend who, unbeknownst to me, had spent two years as an agent long before I ever knew her. And one of her reasons for quitting really stuck with me; she said that her interactions with people had become colored by their earnings and it made her feel gross. I know plenty of agents do fall into this trap, and it leads them to be really weird around people with money. I don’t have that issue but sometimes I think I fall a bit too far the other side, killing myself to help people for free. But if I’m going to go too far in one direction, I’d rather it be focusing on relationships than being greedy.
And that’s what I was taught from the first day of real estate. When I started at Compass, Joe and Kelly recommended I take a training program called Buffini (they all have really weird names, like Ninja, which I also did). I wasn’t even licensed yet and was spending my Monday mornings learning how to run a business entirely based on referral, or word of mouth. And the biggest lesson was that you need to focus on relationships and not transactions. Aside from all the obvious need to occasionally get paid, I’ll happily help anyone at any time regardless of its potential economic upside. This is one of my favorite things, when acting in the most kind and ethical manner also provides the greatest economic reward. Win win, babes!
Because there are plenty of agents who work only within a “transactional” mindset. These people will do ok for a while but will never reach a high level and will wash out as the industry changes and agents go from being gatekeepers to lifetime advisors (writing more about this next week). I’m going to give an example of an agent I recently dealt with who tried to “steal” a client on a $2,000 rental deal — basically the smallest possible deal in NYC. When that didn’t work and my client decided to pass on the property both because she didn’t like it and because she was horrified that this other agent was trying to force me out of the deal, the agent had her manager call the same senior leader at Compass who had taught me how to run my business with a relationship mindset. Thankfully I have such a good reputation that there was no question her claims were bullshit, but it was still shocking to see how someone would outright lie in order to earn a few hundred bucks, especially in a business where your reputation means so much. Because sometimes karma works quickly, this was the same day the DOS guidance was released, so had my client moved forward the agent would not have been able to charge a fee (sucks to suck!). And honestly, if the rent laws change to say only landlords are allowed to pay their agents (rather than tenants) I give her three months before she quits the industry. You can’t build a sustainable business through this type of practice.
Since I run my own company, I’m like a startup with a pre-determined function (help people find homes) and pre-determined payouts (I usually don’t get to set my own price), so I am free to focus SOLELY on providing more value than other agents at the same price. If we are all equally expensive, or FREE if you are a buyer, literally the only thing I need to do is show that I care more, work harder, and do better work than other agents. Why would I focus this energy on being weirdly possessive of clients, instead? But in a down market like this you start to see a lot of people’s true colors, and agents do really terrible things to steal business from one another. It’s sad and I can’t understand it, because again, all you should focus on is doing a good job for the people in your life. And be happy you have any business at all!
Which bring me to the last, but definitely not least, part of this two year journey to being a better person: gratitude. This has been an absolute game changer for me; it has reduced my anxiety, helped with depression, improved my relationships, improved my business, and has made me a happier person. And when you’re happy, you’re automatically more grateful, so it continues like a flywheel until you’re just a ball of happiness barreling down the street. I learned to have gratitude from Compass leadership, Joe and Kelly, and both of the trainings I completed in my first year (the weirdly named Ninja and Buffini). I started saying three things I was grateful for every morning. I started telling my friends I loved them more. I started writing cards and thank you notes to people. And it just got easier and easier. I’ve even become better at telling romantic interests how I feel, good and bad, which I would NEVER do a few years ago. And the rewards from this gratitude have made me more confident and willing to explore new things. I can’t think of a single negative part of being grateful for everything and everyone in my life. That doesn’t mean blind optimism and ignoring what is happening around me, but focusing on the good even as I acknowledge the bad.
Why did I write this? Because I’m grateful to Compass, Joe, and Kelly (and everyone else there who I love so dearly) for making this journey into real estate one that makes my life infinitely better (so cheesy, sorry) and also to defend my line of work. You can do real estate without being a piece of shit — in fact, it goes better for you if you aren’t one — and hopefully I can be a form of proof.
xo
Anna