Beware the Realtorsaurus!

August 10, 2006 |

In two of my previous posts, I introduced you to disintermediation, and then explained why I don’t think it will ever truly happen in the real estate industry.  In short, the reason Realtors and agents won’t be disintermediated in real estate is that the good ones serve a vital function as a consultant in the real estate process.  Those are the same Realtors who will be able to adapt to the technological changes and use them to the advantages of themselves and their customers and clients.

The lack of disintermediation doesn’t mean that the real estate industry isn’t being drastically changed by new technology.  It most certainly is, and the introduction of new technology and innovation in current technology is going to drastically change the way a Realtors or agent interacts with customers and clients, and the way the real estate transaction happens in the future.  I shall explain it thus:

In my spare time, I like to dabble in taxonomy.  I recently discovered a new species of animal.  I am calling it the: Realtorsaurus.  (Okay, so I don’t dabble in taxonomy, but you get the idea)

The Realtorsaurus is found all over the 50 American states, Guam and Puerto Rico.  It usually inhabits a home or apartment, and travels to and from a small cave called an "office."  Although, some choose to spend most of their time at home.  The behavior of the Realtorsaurus is remarkable because the species is either unwilling or unable to adapt to changes in the real estate environment.  The Realtorsaurus is usually the last to adopt an emerging technology, and is therefore easily confused and frustrated by things such as cell phones, email, and computers in general.  While other Realtors are busy with Internet and email marketing, making video podcasts, and learning about RSS, the Realtorsaurus can usually be found cold-calling, struggling to get the date stamp off of their digital photos, and sending out broadcast faxes of new listings.  The Realtorsaurus is usually heard to make a great amount of noise (usually in the form of verbal protestations and complaints) at the first sign of approaching technology. 

The Realtorsaurus has as its main food source the unsuspecting Customer.  Occasionally, the Realtorsaurus even preys on its own family members and friends.  Unfortunately, the Realtorsaurus usually lies in wait at the office.  This is done in the hope that the Customer will walk-in or communicate by phone, completely unaware of the dangerous Realtorsaurus that lurks inside or at the other end of the line.  While the Realtorsaurus does not actually kill it’s prey, the Customer (who is called a, "Client," once firmly in the grip of the Realtorsaurus) usually has the life sucked out of it, along with thousands of dollars, and is left with a tremendous feeling of dissatisfaction.  This usually makes the Customer very wary of all future interactions with any type of Realtor, for fear that they may, once again, be caught in the clutches of a Realtorsaurus.  Many times, the Customer is more technologically inclined and advanced than the Realtorsaurus, and should be able to escape.  Tragically, however, some Customers do not recognize they have fallen prey to the Realtorsaurus until it is too late. 

The most disturbing trait of the Realtorsaurus is that they are born as regular, normal Realtors.  It is only after years of basking in ignorance and hiding from change that they develop into a full-grown Realtorsaurus.  The most unfortunate thing for the Realtorsaurus is that they have a very short life-span.  Many Realtorsauruses will not live more than 2-3 years due to the current changes in the real estate landscape.  While the Realtorsaurus population will probably not experience any drastic extinction, due to the constant conversion of Realtors into Realtorsauruses, their numbers will certainly dwindle.  This will be due to the fact that the Realtorsauruses main prey, the Customer, will begin to utilize methods unfamiliar, and actually avoided, by the Realtorsaurus.  Many customers will use the Internet and email to their advantage.  Realtorsauruses are scared off by the mention of Internet and email, and it is usually safe for the Customer.  Customers will begin to expect more information and expertise from Realtors, something which Realtorsauruses are not equipped with, because they care more about the commission than the actual needs of the Customer.  Technology will create transparency in the real estate industry, and Realtorsauruses will be caught off-guard by the knowledge of their Customers, and the Customer will likely seek another Realtor as a result.  Yes, because of the way in which technology is impacting the real estate industry, the days of the Realtorsaurus are numbered.  This is good news for the Customer, and a warning to any Realtor that might be prone to developing into a Realtorsaurus. 

Both Customers and Realtors should heed the same warning:  BEWARE THE REALTORSAURUS!

Posted by Daniel | Filed Under Buying, Fun Stuff, Industry Issues, Realtorsaurus, Selling, disintermediation 

Comments

One Response to “Beware the Realtorsaurus!”

  1. greg on August 14th, 2006 12:42 pm

    Many agents, and brokerages, refuse to change and evolve. These agents will not be effective in real estate in five years.

    See my similar post at:

    http://blueroof.wordpress.com/2006/08/09/working-with-dinosaurs/

    [Reply]

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