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Quick Answer Series: To List or Not to List? That is the Question.

4 September 2009 by Matt Jones 650 views View Comments

Should I list homes or work with buyers?  I say you should do whichever one suits you best.  I know, for years the “experts” have said, “You’ve got to list to last.”  But I say that just isn’t true!  Do whichever you’re best at.

Now before you brand me as a buyer’s agent, you should know that I am actually a listing agent.  In fact, I listed 114 individual homes my first year in the business, one at a time.  I typically carried a listing inventory of 50-60 homes at any given time.  And I listed them all at 8% or more in a market that typically listed for 6% or less.  I am a listing agent, and a pretty good one.

I believe that old adage about listing to last is just not good advice anymore.  There was a time when it was good advice, but that time has passed.  Why?  Because at one time, the vast majority of leads came from sign calls.  Today, sign calls amount to a very small percentage of new customer leads.  Why?  According to the National Association of REALTORS® 2008 Profile of Home Buyers and Sellers, 87% of the time customers begin their search online.

If you are waiting for that sign call, don’t.  By the time he calls, the customer will already be committed to some other agent who’s figured out how to market online.  And besides that, today’s customer is calling less and less.  Think about your last few times at the duty desk.

Another reason that many agents prefer listing to working with buyers is that they can work on their own schedule.  That’s true, but when you factor in the national average that only 55% of all listings sell, while over 80% of all accepted offers ultimately close, the work load is higher for the listing agent than the agent who works with buyers only.

Another reason to consider is that listing is like putting money in a savings account.  Working with buyers is like putting it in a checking account.  Sure, eventually many of your listings will sell and you will get paid, but many won’t and you won’t.  The buyer’s agent gets paid nearly every time.

At the end of the day, it’s a trade-off.  I would simply recommend the one you prefer.  If you prefer working with buyers, don’t be “guilted” into believing that you are doing something wrong.  Just plan on working weekends and find another source for your new customer leads.  If you prefer to take off weekends, then be a listing agent.  But if you do, don’t allow yourself to get frustrated when nearly half the listings don’t sell.  It’s just the nature of the business.

As for me, I prefer to list and refer buyers to my team so I get the best of both worlds.  But that’s just me.  You do what fits you best.  And that’s my short answer.

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