The real estate profession has many characteristics. One of them is the ability to adapt to new developments in the real estate market, making it always very relevant for people interested in real estate. One of the novelties that has been drawing the attention of these professionals is the concept of “personal broker”.
It is a variation of the performance of the traditional real estate broker, with the objective of serving clients with high purchasing power and who demand great efficiency in negotiations.
So that you can understand what this topic is about, we have prepared a complete article on the subject. Read through to the end and discover every detail about the role of the personal broker in the real estate market.
Personal broker: a professional who sells luxury
It is important to clarify that the personal broker operates in an extremely restricted market: luxury real estate. Therefore, to start and work in this segment, it is important to know what a high-end property is.
Luxury properties have some characteristics, we will list them below.
A luxury property needs to be surrounded by properties of the same standard like Lahore Smart City Therefore, a large house in a middle-class neighborhood, no matter how spacious and luxurious, may not attract the attention of an investor who hires a personal broker.
This type of customer places a lot of value on the neighborhood, demanding that their property be surrounded by residents of the same social class. It is an understanding of status.
A high-standard property has a good location. It is no secret to any realtor that this characteristic influences the value of properties. Just check the neighborhoods that have the most expensive square meter to understand this concept. Generally, these neighborhoods have excellent infrastructure, in addition to architectural projects that make the residents’ experience more pleasant.
A client looking for a personal broker requires privacy during the entire negotiation. This feature is also required for the property that will be sold.
Therefore, aspects such as the description of professionals working in the condominium, the interaction between neighbors and the possibility of outsiders having access to what happens inside the properties must be evaluated.
The properties must have projects signed by talented and recognized architects in the market. The decoration must follow logic. The ideal is to work with professionals who have already presented their projects at events such as Casa Cor, for example. The investor in luxury real estate values spacious, technological and beautiful environments.
Luxury property as a financial investment
Any broker understands that buying a property is equivalent to investment. However, the personal broker needs to master information about the real estate market.
This is necessary because your client doesn’t just want a house to live in with his family, he wants a property that adds value to his equity. This public already has professionals who do their financial analysis and give investment tips, therefore, the personal broker must be a specialist in the real estate market that will add strength to other people.
Therefore, this broker must know basic aspects about investments in high-end properties, such as:
Appreciation above average
Luxury properties tend to have a higher appreciation than properties with a lower value. This is because they operate in a restricted market, which reduces the offer of this type of product.
In addition, these properties use top-notch materials in their finishing, in many cases imported, and this also adds value to the property.
Added to these characteristics is the fact that the location and size of properties act as an engine that drives the gain in value, as these properties and land are of interest to different segments of the public, from construction companies, governments and other clients with great purchasing power.
In addition, passive income generated by luxury real estate can be an excellent source of income because some people prefer to pay large rents, living in high-end property, than buy one.
A personal broker must know all these facts about the market in which they want to operate and be aware of the changes that occur.
Characteristics of a personal broker
In addition to in-depth knowledge of the real estate market, which can only be achieved after a few years of experience, other qualities are expected from a personal broker, for example:
Efficient network of contacts
One way to win good deals for your customers is to have contacts in different areas, as this can help you solve customer problems, such as presenting a list of talented decorators, companies that can do renovations, and so on.
In addition, the network of contacts is essential to gain new customers. One tip is to follow the social columns in your city to begin to understand the habits of people who buy luxury real estate.
True appreciation for refinement
It is no crime for a realtor to think that the needs of the wealthier public are futile, however, it does mean that this realtor is not ready to act as a personal broker.
A personal broker must like to talk — and study — about this luxury market, they need to understand how valid the demands of their customer are.
Appreciation for your image
A personal broker works with your image. This means that these professionals must be careful with the way they present themselves, wearing well-cut clothes that are appropriate for the events they participate in.
However, the main point that deserves your attention is its credibility. As it is a very restricted market, the personal broker cannot disappoint a client, as this can seriously damage their image.
Despite closing deals with high values, this professional’s commission is not usually above 2% of the sale price. Besides, it’s not every day you sell a mansion, is it?
Therefore, the personal broker needs to be careful with your personal finances so as not to pay to work.
Respect for the time of the client and his advisors
One of the reasons that makes a person look for a personal broker is not having the time (and not the will) to visit real estate. Therefore, this client outsources the task to this broker. Normally, the personal broker will only talk to secretaries and advisors, so visits need to be objective.
Focus on personalization
All this objectivity must result in the customization of the business. Therefore, the personal broker has to devote time to listening and understanding the investor’s needs.
As we saw in this article, the personal broker is a segmented version of real estate brokerage. It is a new way of operating in the market and should be evaluated by professionals who identify with the luxury market.
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