The Panama real estate machine has developed a bad habit. The non-exclusive real estate listing. For some reason, in Panama, people feel that it is better to list with 3, 4 or more agents at a time in order to sell their properties. At one time, this may have helped. Before the internet was here, or large real estate publications it may have been difficult to find properties and the more agents you had advertising yours, the better. Most still operate on this philosophy. More agents equals more exposure. Right?
The problem with listing with several realtors, is that not a single one of them is wise to aggressively advertise that listing. If he does, the potential of another realtor selling it becomes higher, and if that happens, the advertising realtor does not get compensated for the advertising expenditure.
In order for a realtor to be held accountable for selling your property, he must be the only one with the listing. It is in this way that you, the seller, are able to police the activity. If the agent isn't doing his job, you fire him. If 7 agents aren't doing their jobs, who cares, none of them have invested a penny for fear of spending only to lost the sale to another one of the 7.
If I am the only one listing your property, I must advertise, I must produce results, and once I invest my time, money and effort into the listing, I become very invested, and need to sell it to regain my expenditures. It is a far better system. I advertise on every site, signs, papers etc to make the sale happen, compared to the non-exclusive listings, who get a spot on my page and I wait for the phone to ring. I sit and wait to see if I am the one realtor out of the other 6 to get the phone call on the property.
The same goes for buying. Do you choose one realtor and count on his expertise and motivation to find you the perfect property or do you call 7 and tell each one what your looking for and wait for a phone call? It's a no brainer! Unless you are working with a realtor that just isn't cutting it, you are far better to stick with one skilled person.
One of the reasons is the far too common non-exclusive listing parctice. Hire more than one realtor, and you will end up looking at the same non-exclusively listed property seven times. That's no fun!
Another reason is again, accountability. When I am the only one working for you, I certainly don't want to be fired! Especially after I have invested a large amount of time and you have given me your trust and loyalty. I want to excell and do a great job and get paid for that effort. A realtor that has to work for you with the expectation that you may buy from another does not get too excited to work for you. Not really a nice thing, but a fact just the same. It's the reason the commission structure was created, to motivate your agent to make the deal. Without commission, the agent is working for 0 dollars. It happens.
The question one has to pose when either buying, or selling a property is either A: do I trust this one agent to work diligently for me and if he does not, is there something I can do about it? YES!!
;or B: do I trust these agents to work diligently for me, and if they do not, are there consequences? NO!! Because anyone can sell your listing. Anyone can act as an agent, so weather you fire one of the 7 agents or not, he can still bring a client and sell your property on a fluke.
The bottom line is that a non-exclusive agreement with your agents is entirely fluke, because not one of them will give you their heart and soul. An exclusive arangement gets you results!!
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