What is a "Professional"?

What exactly is a “professional”? I guess we could define it simply as someone who gets paid for what they are doing. But clearly, if I want to hire a professional for something, it had better be somebody who ACTS professionally if they want to earn my business. Some professions do require more stringent standards for their “members” (official or otherwise). Some would equate ethics with professional standards. But I think ethics is a different category altogether. To me, ethics are principles which guide how we behave and (should) treat each other as human beings (see the REALTOR Code of Ethics, for example), while “professional standards” are what set people in business a cut above the average.

The real estate business is relatively easy to get into – no degrees required, etc., though in most states licensing has become more stringent in recent years. But having a license to practice your business, once again, means nothing in terms of one’s professionalism. It gives you the legal right to practice certain things in certain states, but that’s it – not one iota farther.

For example, I recently came across a mortgage broker who was licensed and called himself a professional, but apparently had no idea how to behave professionally towards his clients. His lack of professionalism almost cost the clients (clients whom he and I shared) thousands of dollars, simply due to the fact that he gave inaccurate (if not dishonest) answers, said he did things that had not actually gotten done, and so on. I was furious that he could treat his (our) clients that way. Was he ethical? Well, I suppose one could argue that he might not have breached any ethics, that his intent was positive. But there is no valid argument that he was a professional. And it deeply disturbs me that other clients of his continue to put their trust in him.

I would suggest that a real estate professional should start with a professional designation (e.g. “REALTOR®”). But once again it should go much farther than that in terms of how well he or she communicates, negotiates, dedicates his/her time to their clients, etc. It might not be the easiest thing to define, but you sure know it when you see it, and you sure are aware of it when it’s missing.

Do yourself a favor: don’t affiliate yourself with a “professional” without asking for references or other recommendations. There’s no guarantee that you will have a similar experience as another client, but it could save you many headaches, and many more dollars.

Next week: Realistic Expectations

Don't Try This At Home

In my previous life as an Air Traffic Controller, we used to have a saying: "Don't try this at home!"... for obvious reasons. These days we live more and more in a do-it-yourself society, and if you are anything like me, you would rather do everything for yourself rather than to have others mess it all up for you.

But there are definitely things that one is better off entrusting to others. Buying and selling real estate is one of them. Is it legal to represent yourself in a transaction? You bet it is. Is it a good idea? Well, you know what they say about a lawyer who represents himself in court, don't you? If not, ask me.

Much of what real estate really is nowadays is a lawsuit waiting to happen. There are so many ways that a transaction can go off the track and/or come back and bite you years later. And of course, with every lawsuit, a new form is often born, adding to what is already a mountain of paperwork.

But there are other things that are critical these days, especially if you are considering selling your property. How do you come up with a sale price? This is probably the biggest reason that a property does not sell - a seller is completely convinced that their property is worth more than the market says it is. I'm sorry, but I have to say this: a seller is probably the least accurate resource when it comes to pricing a property so it will sell. A seller can say what they think a property should be worth, or what they want it to be worth, but that is usually far from what it will sell for.

And then there is Marketing... Real Estate Marketing is something that a good real estate professional should be totally on top of - if an agent can't give you a detailed, strong, and highly diverse marketing plan, then you should probably be talking to another agent. Marketing is another item that is best left to those who do it for a living.

A good real estate agent will lead you through this maze. So whether you are buying and selling - be sure you are well represented, but seriously folks, "Don't try this at home..."

Next time: What IS a Professional?

What else would you like to see Mark write about? Tell us!