Top Ten Things to Consider for Filipino Real Estate Professionals
Having mentors spell a big difference between success and failure.
If you are new to the real estate industry or planning to be in the real estate industry particularly in the Philippines this article is for you.
If you are a property buyer or an investor, this is to give me you an idea on how your agent or broker must behave especially in presenting real estate properties for you in the Philippine Islands. I will also create another hub article as guide for buyers and investors.
Points for Real Estate Professionals
- Do Not Sell Properties You Haven't Visited
- Sell What You Like to Buy Yourself
- Always Have a Signed Authority to Sell
- Deal Only With Licensed Professionals
- Conduct Your Own Due Diligence
- Take Good Pictures
- Have a Professional Website
- Always be Accessible
- Work with a Team
- Service Above All
Common Sense to Remember in Dealing Real Estate
- Never sell properties you haven't personally visited - Do not take chances with this. It doesn't mean that it look good pictures it is already good. Make sure you step on each boundary marks (if you are selling land or lots) and take photos on different angles. You are going to make a huge commission once the property is sold. So you really have to put all your best effort in serving your clients, both the seller and the buyer. Visiting the properties you are selling will also help you create a better description, take good photos and give each photo a detailed caption.
- You have to like to buy a property you are selling - It will be easy for you to sell the property if you yourself like to buy it (assuming you have money). See the property in the buyers perspective. In this way you can tell if the property is overpriced or is a good deal. Take note of all the eye sores, and potential objections. If you can see it, the buyer can see it as well. Suggest to the owner seller ways on how to address the would be objections, specifically on the price and appearance of the property. If the property excites you then go represent the seller!
- Always have a signed Authority to Sell (ATS) or Authority to Find a Buyer (ATFB) - This will assure you of your commission as stated in the Authority. The authority must also have an hold-over clause stating that you are still entitled to your commission if ever a registered a buyer purchase beyond the expiration of the Authority. The authority to sell will also give you a legitimacy to co-broke the property with other licensed real estate brokers.
- Conduct your own due diligence - Look for possible deal breakers. If the property submitted to you is too good to be true (the price maybe way below market value) then maybe it is. To be safe do your own due diligence. Demand for certified true copy of documents such as title, tax declarations, or survey plans. You can get these documents yourself from government agencies with the permission of the seller. See if there are annotations of liens and encumbrances. Your buyer will conduct their own due diligence also, it is better that you have done yours way ahead and see the faults yourself and have it remedied (if it can be) before your buyer finds out and both of you losing the deal. Conducting your own due diligence will save you and your buyer a lot of precious time and resources. Remember, it is better to represent a few well documented properties than too many yet shady and cloudy documents.
"We work together"
- Work with a team - "If you are working too hard and you are earning too little you are not using leverage" - T.Harv Eker. Find a business team especially those with team members who have years of experience in real estate transactions, those who are good with the internet and online marketing and those who have good connections and network with the whos who in the real estate industry. Robert Kiyosaki said: "Your network is your networth". The best way is to join real estate organizations like REBAP, PAREB, CREBA or CARENET. They give training, mentorship and inside information to their members for a small fee or for free.
- Deal only with licensed professionals - licensed real estate professionals and other professionals in the real estate industry such as engineers, architects, plumblers, etc., undergone rigid government standards before getting their license. As you yourself underwent the process of getting your real estate license. Licensed professionals are very careful with their conduct so as not to to loss their license. Do not deal with fair share deals with illegal real estate brokers. If they want to deal with you then they should be given a finders fee or referral fee but not as fair share of the commission. To be sure when getting property submission or buyers referrals from unlicensed agents, you have to counter-check every thing first so that you will not end up wasting your precious time.
To attract be attractive
- Take good photos - a picture paints a thousand words. Remember that today more than 95% of property buyers search up the internet. They will be more likely to click properties with nice pictures. You already seen other properties advertised with good quality pictures, try to have it well with your property ads. Study on how to take good photos. You can go to YouTube and search "Real Estate Photography". Be sure to put watermark in your photos to avoid them being used by other unprofessional agents who are too lazy to take their own pictures and just copy others hard-work in the internet.
- Have a professional website - This will enhance your online professional branding. having a well written linkedin profile will work as well. Remember your clients google for the property they are looking for and they will surely google your name. They have to know who they are dealing with. Closing a real estate deal is having a business relationship and business relationship is like marriage you have to like and fall in love with your future business partners.
- Always be accessible - Make sure that potential clients can reach you online and offline. Put in your contact portion different ways to get in touch with you. Have a line only for business. It must be always full charge and open 24 hours. There are smartphone apps that can send customized sms message in-case the caller missed your call especially if they call while you are sleeping. You can also program your email to send an auto-responder giving them instructions on what to do in case their message for you is urgent.
- Serve your clients well - The best salesperson is a satisfied customer. If your client is happy he/she will refer you their friends. "Like attract likes" if your client can afford your properties then most probably their friends can afford as well. Remember "money is the result of the value you give to others". Happy selling!
My purpose in life is to inspire & engage people in creating wealth & abundance - Coach Rovel
These books helped me when I am just starting in real estate.
Beware of illegal brokers by PAREB
Always deal with Licensed Real Estate Professionals
There are four types of Licensed Real Estate Professionals in the Philippines.
- Licensed Real Estate Salesperson - They are employed under a Licensed Real Estate Broker. Each broker are allowed up to twenty (20) salesperson under him/her. To become a licensed salesperson you have to undergo Philippine Regulatory Commission (PRC) Seminar by Institutions accredited by PRC (see list below).
- Licensed Real Estate Broker - Those who take the real estate broker seminar, review and passed the exam given by the PRC. Only licensed real estate brokers are allowed by the Philippine Government to practice marketing and selling of real estate properties.
- Licensed Real Estate Appraiser - They are licensed to conduct valuation and appraisal activities. They are usually hired by banks and corporate clients to find the sound value of the property before giving out loans or getting into real estate acquisition.
- Licensed Real Estate Consultant - They are licensed by the government to give professional judgement on the viability and profitability of real estate development or project. Those with more than 10 years of experience as licensed real estate broker are qualified to take the exam as real estate consultant.