Not everything is what it seems in the real estate world, and first-time homebuyers tend to fall into the wrong holes of the business. Following up, David reveals more of the biggest dirty little secret in real estate in this second part. The industry is broken in so many ways and it helps to know how you are getting screwed by it to protect yourself. Count yourself out as merely a number in someone’s wheel of success and learn how the real estate industry sees many first-time home buyers and what you can do to get the great service you deserve.
The Biggest Dirty Little Secret In Real Estate II
More Of The Insider Real Secrets To Help First Time Homebuyers Buy Their First Home With Confidence
Our goal is to help teach, educate and make sure that you folks out there who might be afraid of buying a home realize that there isn’t that much to be afraid of if you have the right information. Our goal is to get that information to you and to help you stop renting as soon as you can. I’ve worked with and closed 81 first-time buyers and every single one of them said, “Sidoni, I should have done this earlier because I paid rent for too long.” You may find out in this show that you can get in for a lower down payment than you think. That in 2019, interest rates are stupid low and there are great ways for you to stop renting quicker. What I’m going to talk to you a little bit about is again another dirty little secret of real estate. I’m doing this because you guys, straight up, are sick. You are sick and twisted individuals. Here I am pouring my heart out to you, trying to help you achieve the American dream. What’s more wholesome than that and all you want to know about is the dirty little secret. Fine, here comes some more dirt.
The real estate industry is broken in a whole bunch of ways and you as a first-time buyer, especially in the higher priced areas, where the average home price is above the national average in 2019. The national average is slipping around $230,000 for a house. If you are aware that it’s broken and especially if you’re on one of those areas where $230,000 can’t get you started. Around here where I am in Southern California, for $230,000, you’re not even close to getting into even an entry-level condo. If you are aware that part of the industry is broken, the reason I tell you that is not because I love sitting around whining, although apparently you love sitting around and listening to me putting it in your ear holes. The reason that I want to do this is to help protect you. We want to take the mystery out of this seemingly difficult goal. We want it not to seem so unattainable and unachievable and so scary.
The more information that you have, then the less you’re going to be scared. That ultimately is going to help you stop paying your stupid high rent. That’s the goal. We’re trying to protect you. We’re trying to protect you with information. That’s your force field, your shield. This is for you. This information is for you, for my family, for the community that we’ve created out there, all the first-time buyers. If you enjoy reading this and you’re excited about getting some information, but every once in a while you need a little dirt, a little juice, a little something to make you feel like, “Why am I trying to figure all this crap out?” Here’s why. A whole lot of what’s going on in real estate sucks.
[bctt tweet=”The more information you have, the less you’re going to be scared.” via=”no”]
I definitely feel alone doing this. Is it because I’m downstairs in my house and everyone’s asleep and it’s the middle of the night? Sure. That’s one reason. Nobody thinks what I’m doing is a good idea. Nobody thinks that telling you is a way to grow a successful business or whatever. That’s fine. I’m doing all right. My wife and I have a very happy life and I’ve got a bunch of happy clients out here in Southern California. Who cares? If I’m alone doing what I’m doing, then who better to talk to you scared and confused people out there who feel so alone? There’s no more alone feeling than renting your apartment and trying to figure out how you’re going to pay your bills next month.
How alone do you feel that way? You got me into your earholes going, “You can do this. You can buy a house,” and you’re like, “I’m trying to figure out how to pay my electric bill.” I understand. I’m trying to make sure that you’d get an opportunity to understand what you’re up against because it’s a very powerful industry where more than half of the people out there, they don’t really want to serve the first-time buyer. They want to be in a different bracket of doing this job of being a realtor or a real estate agent. You’ve got about half that want to help you. Of that half, about a quarter of them, so half of the half, they shouldn’t be helping you. They’re brand new, they’re inexperienced or they’re just doing a couple of transactions a year and that’s not right. That leaves about a quarter left to serve you.
That’s where you got real pros that are actually going to give you fantastic service or what is the biggest financial transaction of your life. If all your friends are saying, “You’re crazy to think about buying a home,” they’re right. You are, unless you’ve got the right information. I’m going to give you another dirty little secret. This is about how the real estate so-called professionals see their jobs and how that affects you. What this means to you is that for the biggest deal of your life, this is the way that what I say 50% of the people think about it and 25% of them, they don’t think and they shouldn’t be doing what they do because the bar’s way too low to become a real estate agent. 25% of them, they don’t think this way.
Let me explain a secret that nobody wants to tell you. After we do that, then we’ll discuss the solutions. It’s important for you to know this to educate, but we’ll also talk about the solutions. This is not me complaining. I am captain positive and in every show I tell you, “You can do this.” My goal is to always get on the solution side of things. I heard a great coach say that once, “Get on the solution side of stuff.” Instead of dwelling on what was wrong before or what’s going wrong right now, let’s talk about the solution. Let’s get to the fix. In this case, in order for you to fix it, you’ve got to know what’s broken. You’ve got to see what’s being hidden from you. Here’s the big secret.
They’re Lying To You
This is me explaining this to help you. I know that if you get this information, you can share it and you could start a revolution, but you don’t have to. I’m going to go ahead and tell you the secret right now and you can keep it. I don’t care. You can keep it to yourself and use it just for you. That’s fine because then that still gets the job done. You still get to approach and go through this big life moment armed with the information and that’s cool. That’s because I’m not selling you. I’m telling you so that you can get this right because it’s a big deal. I don’t think it’s cool that the real estate industry and realtors are lying to you. There it is. I said it. That’s the secret. Some of the folks out there are great. Some of them really want to help you, but I’m telling you from an insider with knowledge who is not afraid by being murdered by the real estate mafia because they don’t exist and honestly, none of them are going to listen to it because it doesn’t make them any money. It’s sad. The deal is that the entire goal of the industry is not to serve the clients. It’s to get more clients.
What we’re taught and what everyone is taught most of the time, the majority of the teaching is not to serve the clients, but how to get more clients. It’s focusing on teaching agents and realtors how to get leads, how to capture you. We talked about that in our previous episode. They don’t teach the agents in the industry how to serve you. They don’t teach how to serve the client, how to help the client through this big deal. They go over and over and pounding your head that the way to be successful in real estate is to get more leads. How about doing good for your leads and then they tell their friends and then you’re doing fine? It drives me nuts. I’ve said this before. If this industry had put 10% of their energy into teaching real estate agents and realtors how to be great at their job and how to serve their clients, if they put 10% as much energy into that as they did teaching you how to go out and get more clients, then the entire industry wouldn’t be chasing the internet, trying to get buyers out there to come back to them.
[bctt tweet=”In order for you to fix something, you got to know what’s broken.” via=”no”]
They’re Bailing Out
You are wondering why are they clicking all these buttons and these people that are giving them lousy service. Why did they keep going to them? Because you’re not even talking to them. Here’s another thing that they’re telling you that is not true. Not only many of them out there do not like first-time buyers because as I’ve mentioned before, you’re not a good return on their investment. It takes too much time and energy and effort, which is ridiculous. Go take a look at how much your therapist makes, Mr. Realtor. How much do they make per hour? How much do you think you should make per hour when you’re working with a first-time buyer? That’s a whole other story. Here’s the dirty little secret. Lots of them don’t even like sellers and their goal is to bail on them someday too. Will I tell you about that? This is for educational purposes only. I’m telling you this because right now more than ever, it’s so remarkably important that you research to find the right advocates for you.
Here’s the secret of why lots of agents don’t like their jobs. It’s a one-off business. I’ve talked to you about that before. That means there are no rules. In other words, when you’re working with a seller of a house, there are no rules. That seller can be nuts. They can do whatever they want because they don’t care. They’re not trying to sell that house to multiple different people. They don’t care how the consumer public reacts to them. If Amazon does a crappy job mailing stuff to everybody, the word’s going to get out and even a giant like Amazon will collapse. This isn’t Amazon. This is one person selling one thing one time and they can be a jerk the whole time. Lots of times they’re over-emotional unrealistic and they can’t imagine why no one would pay $50,000 less than the one down the street because that was Judy’s house and Judy’s house smells. They forget that your house is half the size of Judy’s and you painted the inside bright pink but stuff like that happens and to do well in real estate, to be a successful realtor, you have to accept that it’s part of your job.
They’re Changing Their Goals
Eventually, people get into this to realize that this is a one-off business and each new client has a brand-new set of rules. At some point for many of them, their ultimate goal isn’t to become the best realtor to serve lots of buyers and sellers, but their goal is to get out. Their goal is to bail. Their goal is to make enough money to stop doing this. Here’s an inside secret. A lot of the folks who are really good at this, they changed their goal. They see something else along the way and they changed their goals. They change their goal to coach, to become speakers and to train other realtors on how to get more leads. Meanwhile, they’ve got a team back home that’s actually working with the sellers and maybe working with first-time buyers. You’ve got to be careful because a lot of times their buyer specialists are people that have been in the industry for three weeks. Their goal is to bail and teach other people but the bummer is they don’t even teach them how to do the job well, they just teach them how to get more leads. Isn’t that nuts? The goal is to get really good and then bail. You teach folks. You show them how to go out and get other people to come and use your service.
A lot of them have great intentions and a lot of them might be saying, “This business is hard. I do a really good job, so I’d like to get people to come to me. I want to go and get a coach.” I’m in a coaching program right now that’s helping me. I’ve been in one since I started and I just joined another one. He’s helping me to learn Facebook marketing. It’s something I haven’t done it a bunch of but he’s helping me get this information out there. I know that I’m coming from a good place and so I can take that information from him. Some of these coaches are awesome, but what’s really interesting is even the folks who were awesome, they still decide to bail on it. Their goal is not to be the best realtor in town, their goal is to be a super recruiter or a coach. It’s because half of the industry is sub-par and that’s a cash cow because they need to pay somebody else to teach them how to get more leads.
That means the best people in the industry, their goal for many of them, is not to become a top realtor and serve as many clients as they can. Their goal is to get other realtors to pay them, to teach them how to get more leads because they’re not getting enough leads because no one taught them how to serve their clients well in the first place, so they’re not getting repeat business. Imagine this in any other industry. Imagine that you know anybody else. I think of a lot of great teachers out there who stayed teaching for 30 years until they retire because they love it. There are a lot of great lawyers that keep practicing law because they love it. Think about all the career paths. How does it go? You learn your craft and you’re good at your craft, you get a good reputation and then maybe you end up getting so many clients because you have such a great reputation that you can raise your prices because you’re good at the craft and you serve people at that craft until you retire. If you teach, you actually teach the craft to other people so they can help and serve people.
How’s that work in real estate? You learn your craft, you get good at your craft and you bail on your craft and then you coach or you teach new people how to get people to hire them in a craft that they’re still learning, like on the job training, which of course is at the entire expense of the clients. Because you as the master, all you did was teach them how to get the client, you didn’t teach them how to serve the client. This is where I can seriously get shot because I’m telling you, some of the brokers I’ve worked at, they have these huge seminars that you pay a ton of money for an 80% to 90% of the seminar is how to get leads, not how to serve leads. I’ll summarize that for you. When a lot of good agents get good, the only thing they want to do is stop doing it. They don’t love the process. Why does this matter to you? I said that the revolution that we’ve got going is relatively small at this point. We’re looking to grow. What you can know if you’re part of the revolution is that 25% of the people out there who are doing real estate, who are helping people, they’re doing a bang-up job. They’re doing great. Let’s get to the solution. Let’s find them.
[bctt tweet=”Someone who values you as a person doesn’t see you as a lead.” via=”no”]
Now that you’ve read this, you know you need to find them. You know you’re not going to be able to find them by Googling who’s the best in town because the best in town doesn’t necessarily mean someone who’s going to give you fantastic service. Unfortunately, a lot of the good ones are not even out there marketing to you. They’re not looking to you, the first-time buyer. That’s because the coaches, the brokers and all the experts have been telling them for years that you, the first-time buyer, you’re going to come to them because you always have. There are some bad dinosaurs teaching some good agents and they don’t realize what they need to do to help folks like you.
The thinking that they’re stuck in is why reach out to you, the first-time home buyer? You’re going to show up. You have every year, year-after-year, you keep showing up. Frankly, they don’t even have to give you great service because it’s the American dream and who doesn’t want the American dream? I don’t get it. Why does the real estate industry act like the electric company or your cable company where you only have one choice and there is nothing you can do about it? They decided to stop advertising. They don’t advertise to you the first-time buyers and if they do, they have the rookies do it because it’s a way for you to build and book of business. Please read episode one through seventeen. I talked about that. They don’t acknowledge that the first-time buyer has power.
Let’s get to the solution. Let’s talk about your power. First of all, this is a big deal. The internet has made a lot of complicated things really easy. Remember, this is a big deal and I’m not sure that the easy route is what you want to look for. Getting the biggest loan of your life and then trying to use that loan to buy a house, which by the way, you might be buying in one of those one-off situations that I talked about with a crazy seller who thinks you should pay extra for their tacky decorating. That whole hot mess that you’re waiting to get into, that’s not one of the things they figured out how to fix with a tap of your phone or opening a new app. It takes a little bit more. What’s the secret to help you? You’ve got to find a unicorn, a great agent who believes in the process. That unicorn has got to have a whole stable of other unicorns, a unicorn team. Let me give you a little metaphor.
If everyone eventually had to buy books for their college classes and you knew that most of the books out there that were sold were being sold by a few different companies and they were totally overcharging everybody. You found out that there’s some crazy dude with the podcast saying, “I’ve got a secret to cheaper books and I’m willing to help you get the cheaper books. I know other people like me all around the country that also know the secret to get cheaper books,” but the bummer is they’re not advertising to you. All you’re hearing is the big book companies. It might be hard to find them. What you have to do is you have to learn how to find these small people who know the small little companies and they need you to tell your friends about it. You need to make sure that they help other people find these people so they can all get this awesome service where we don’t have to pay these insane textbooks fees. All you have to do is you’ve got to listen to this dork on a podcast who thinks that he is starting a revolution when he’s just telling you how to find unicorn books. It starts with education. Learn how to be a unicorn spotter. I am going to keep pushing this metaphor and I’m not stopping.
Educate yourself. Learn how to be a unicorn spotter. I’ve got an entire blog on how to interview your agent. You’re going to need to find someone whose goal is to serve you, someone who values you as a person, doesn’t see you as a lead and doesn’t see you as something. How do you become another transaction, another notch on their belt so they can get more business in a business that they don’t even really like and eventually they want to have an exit plan and bail? First, education. Second, I do have a network. It’s small but mighty and it’s growing. We’ve helped people all over the country like Hawaii, Denver, Atlanta, Tennessee, South Carolina, Florida, Texas, on and on. There is a chance that if you reach out, we might be able to help you. By we, I mean me and my email and my phone, because the revolution is new and I’m by myself right now. I quit my job. Why do you need to get an office and assistant and a team that’s going to work? For now, if you shoot me an email, I can help you out. If I can’t help you out, then I’m going to teach you how to interview and I can show you a couple of ways on how to start the interview process and then read the blog on interviewing for the right agent and we’ll get on interviewing for the right agent.
We’re going to start with educating. We want to change the way that things are done from the inside of this industry. If you learn and get all those education last year, there are 1.76 million first-time buyers. Share this. Spread the word. Get it out there and stop having people make money in real estate, teaching other people how to make money in real estate. How about we change it so that people want to take care of you, the client, the customer? Let’s start a revolution by demanding excellent service. Teach them, number one and the biggest priority, to serve you, the consumer. If you want some more information, some more education, DavidSidoni.com. This is the point where I’m supposed to plug stuff and tell you how to find me so I can make money off of you. That’s not the point of this.
We’re starting the revolution. Go to DavidSidoni.com just for you to learn. There’s educational stuff there. There’s 0.064% chance that you’re within the few miles that I help people buy houses. Remember, this is education. The podcasts are there. There’s a link to YouTube if you want to check out some of the videos. There’s Instagram linked there as well as a Facebook link. I’ve been answering a lot of DMs and I’m also talking to people on Facebook. If you don’t want to pick up the phone or you don’t like typing an email, shoot me a DM. I’m good at that. We’re excited about being able to help as many people out there as we can. I’m excited about it. You should be excited about it because remember, if you are out there and you are educated, there’s nothing to fear.
I also am looking to grow this by answering your questions. Shoot me some questions, any questions you’ve got, email them to me. We’ll do an episode where I’m answering your questions, whether you’re at the very beginning of the process or whether you’re getting ready to write an offer and you are a little freaked out that you want to hear from somebody that everything’s going to be okay. Thanks a lot. Keep educating yourself. If you’re having a little trouble figuring out how to spot a unicorn, go to my website, fill out the contact form and send me an email and I will help you become an expert unicorn spotter. Just what everybody reading this blog wants to hear, “Did you learn anything from that guy?” “Yeah, he taught me how to be a unicorn spotter. I’m totally stoked.” With that, I’ll leave you with a positive message. Remember, you can do this.
- How to Interview your Agent – Previous episode
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This podcast was started for YOU, to demystify things for first time home buyers, and help crush the confusion. After helping first timers for over 13 years, I knew there wasn’t t a lot of clear, tangible, useable information out there on the internet, so I started this podcast. Help me spread the word to other people just like you, dying for answers. Tell your friends, family, and perhaps that random neighbor you REALLY want to move out about How to Buy a Home! A really easy way is to hit the share button and text it to your friends. Go for it, help someone out. And if you’re not already a regular listener, subscribe and get constant updates on the market. If you are a regular and learned something, help me help others – give the show a quick review in Apple Podcasts or wherever you get your podcasts, or write a review on Spotify. Let’s change the way the real estate industry treats you first time buyers, one buyer at a time, starting with you – and make sure your favorite people don’t get screwed by going into this HUGE step blind and confused. Viva la Unicorn Revolution!
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