This week Real Living hosted a bi-annual summit in Columbus, Ohio attended by brokers/owners and manager from across the United States. The agenda was focused on recruiting and retention of real estate agents and the speakers, insight and participation from the group was outstanding.
One key element I wanted to share via this forum is a statistic one of the guest speakers shared with the group. Dr. Cabot Jafee, from Alignmark stated that 58% of current real estate agents would be retiring and of retirement age by the year 2010. I have three thoughts about this statistic.
Wow. NAR tells us there are 1.3 million Realtors chasing buyers and sellers for commissions today. If these agents do retire, it’d leave 546,000 agents and much more business for the remainder. All things being equal, everyone would get over a 100% pay increase! As I’ll allude to next, I don’t think this is going to be the realistic outcome, however, a shocking statistic to share.
Those I know in the “boomer” generation are not retiring. Another speaker at our event was Bill Evans, President of Real Living HER in Columbus. Bill spoke about recruiting through the generations and sited characteristics about the “Boomer” generation including the fact that they, “live to work.” This characteristic is quite different than the “Gen X’ers,” who “work to live.” Over the past two weeks I’ve spoken with a few Real Living mangers, both into their 60’s and point blank asked them when they were going to retire. Both managers replied saying, retirement is not in their vision and that work kept them alive – echoing what Bill Evans stated.
The one thing I know to be true is that if and when these “boomers” stick around, they’ll need to adapt! This leads me to point #3.
Today’s consumer and today’s Realtor are literally generations apart. 80% of which are Gen X and Gen Y. Take into account the following “stereotypes from each of the following generations…
- Live to work
- Technology averse
- Work to live,
- Adaptive to technology
- Live first, work later
- Do not know a world without technology
With this said, there is obviously a huge clash taking place within our industry as you read this. I struggle to see how those in the Boomer generation who choose to continue doing business as they always have will survive. Boomers and a whole new generation of real estate agent have tremendous opportunity that can be seized when implementing all the tools, marketing, technology, and branding to compete.
If your company or franchise does not provide the technology, branding, and everything else today’s buyers seek, call Real Living. Also, if your company or franchise is not delivering relevant seminars like the one Real Living hosted the past few days, call us. We’re competing in the real world and can show you how to build a foundation and prepare for an explosion when the market improves!
Chris.Svec@RealLiving.com or call 614-203-0801.