Nearly every industry imaginable has experienced drastic changes since the dot com boom of the 90’s

Communication, exchange of goods and services, and labor have intangibly permeated through the digital membrane, taking work from the hands of skilled workers, and placing it in the pockets of masses. Assembly line and factory workers were the first victims of the beast that is technological advancement.

Since then, the rate of jobs that are lost to the beast grows exponentially. Telemarketers, receptionists, and phone operators are a thing of the past as computers, voice recognition, and speech synthesis got more sophisticated and allowed companies to implement these systems, making it harder for the receiver to know if they’re talking to a human.

Cashiers gave way to self-checkouts, bank tellers and clerks to ATMS, postal workers to automated sorting machines; The list goes on and on.

You may be wondering, “When will real estate agents be disintermediated? How much longer will I be relevant?”

 

Why Agents Have Not Fallen To Tech

 

This is especially troubling when you consider jobs very similar to real estate agent have been squashed by the beast.

Travel agents have been practically extinct for years. Consider the job description of a travel agent.

  • They arrange travel for business and vacation customers
  • Determine customers’ needs and preferences
  • Plan and arrange tour packages, excursions, and day trips that meet their customers’ needs
  • Find fare and schedule information
  • Calculate total travel costs
  • Book reservations for travel, hotels, rental cars, and special events
  • Tell clients about what their trip will be like
  • Give advice about local weather conditions, customs, and attractions
  • Make alternative booking arrangements if changes arise before or during the trip

Sounds surprisingly close to handling potential home buyers doesn’t it?

Since they are so close in job requirement, why do real estate agents prevail where travel agents fall short?

What’s the difference between the two? The answer is simple.

Real estate agents handle loads of paperwork. Travel agents don’t.

Technology often allows people to bypass working with professionals and do what would be otherwise skilled labor by themselves.

However, the average transaction coordinator spends 12.5 hours doing the paperwork for every transaction. There’s no bypassing that.

 

The average transaction coordinator spends 12.5 hours doing the paperwork for every transaction. There’s no bypassing that.Click To Tweet

 

Networking Vs. Paperwork

So, if you’re like many of the new real estate agents that have entered the industry, you’ve passed your licensing exam and you’re ready to start moving real estate.

You’re outgoing, hard-working, and likeable, as indicated by the large network of friends you’ve accumulated over the years who have all repeatedly praised these gifts that so seamlessly translate into the makings of a top producing agent.

They’ve patted your back, beaming with sincerity and told you time and again what a great agent you’ll be.

What no one did tell you, was how much paperwork is involved in a real estate transaction. You don’t want to waste your time in the tedious semantics of disclosure packets and escrow instructions.

You should be out at social events, handing out business cards, growing your network, and making a name for yourself, not cooped up in the corner cubicle of your broker’s office with your head buried paper and ink.

You didn’t become an agent to do paperwork, but there is a silver lining: If there wasn’t an obscene amount of paperwork to be done for each transaction, you wouldn’t have a job.

 

Real Estate Transaction Efficienciy

You may see this as both a blessing and a curse.

Your job isn’t in danger of being disintermediated any time soon, but you will have to endure mountains of paperwork.

However, thanks to a new outsourced real estate back office service, you can maintain the job you were meant to do and let someone else do the part of it no one likes.

For a simple per transaction fee, a company like REBO will handle everything from Transaction Management to Commission Disbursement.

They focus on the mundane, but crucial, so you can focus on your clients and growth of your business. While you work hard to find the perfect home for your client, they are working day and night behind the scenes to ensure that all of your client files are taken care of.

Through the use of the latest online technology and with the industry’s best transaction coordinators, you can be rest assured that your agents’ documents will be well organized and on time.

Their process can also lead to reducing overall risk by making sure that all pertinent files are included on every single transaction. Whether you do one transaction per month as an agent or hundreds as a brokerage, their overall goal is to become an integral part of your business.

A back office software solution can save you and/or your agents time, handle all paperwork in a professional and reliable manner and reduce your overhead expenses.

They can also help you reduce overall risk by making sure that each and every transaction is processed efficiently in the same manner every single time.

By |2017-11-08T19:59:49+00:00November 9th, 2017|

About the Author:

Jason Fox - Real Estate Marketing Business: We build WordPress Real Estate Websites with IDX Me: #GoHawks, #BringBackTheSonics, #MaybeNextYearMariners, #ILoveMyKids #SeattleSunLover #SeattleWaterLover #BFF Blog: Focuses on Wordpress Websites, Content Management, SEO Services, SEM Campaigns, Social Media Marketing, Email Marketing, Beautiful Design, IDX, and more.

6 Comments

  1. Gerhard Ade November 11, 2017 at 8:37 am - Reply

    Paperwork is a factor. More significant are the dollars at stake and the rarity of the transaction.

    • jasonfox November 30, 2017 at 10:47 am - Reply

      Gerhard, Good points. Thanks for stopping by.

  2. Shantanu Sinha November 15, 2017 at 12:31 am - Reply

    Hello Jason,

    Indeed its the only place where the tech has not taken the full command under it self other wise every other things are
    now being replaced by the dot com life style and also the AI.
    But there are works which not even tech can do, for those sort of thing the human skill and labour is only required.

    Indeed the paperwork is the toughest of all and that’s why tech has not reached there till date. The amount of paperwork
    a real estate agent has to under go which is something very hard for the tech do deal with.

    Thanks for the share.

    Shantanu.

  3. Dan Barcelon December 28, 2017 at 2:27 pm - Reply

    As a relatively new agent, this topic always keeps me up at night. I find myself in a fight to stay relevant each and every day. However, I don’t see Realtors going away anytime soon. Despite advances in technology, real estate is in many cases an emotional purchase, and the human element based on trust and created by an agent’s hard work and tenacity is what moves many transactions forward.

    • jasonfox December 28, 2017 at 4:41 pm - Reply

      Dan… I agree. They compare it to travel agents. But I don’t see how you can compare booking a week long trip to Mexico to buying a home. I think agents are safe… at least for the foreseeable future.

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