How You Can Take This No. 1 Skill and Succeed in the Housing Market, According to Barbara Corcoran
Written by
Crystal Mayer
Edited by
Rebekah Evans
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Real estate mogul and star of “Shark Tank,” Barbara Corcoran knows what it takes to weather the storm. The business expert started a real estate company with borrowed money in one of the toughest markets in the country: New York City.
Today, the company is The Corcoran Group, one of the largest and most recognized brokerage houses in the U.S. Corcoran is well-known for giving realistic advice to hopeful investors and agents. Below is the one important skill she shared with her followers so they can succeed in the market.
Also here’s why Corcoran will never sell her real estate investments.
No. 1 Skill: Adapting To Change
One survival skill real estate agents need to know: how to adapt to change. In a YouTube short, entitled “Change is nothing new to the real estate industry,” mogul Corcoran explained that agents are the “most creative, resilient people” she knows and that they will “adopt to the change easily” but may just need to give it a little space. She noted that with that pause things may change for the better.
Be Aware: Markets Change
The tricky thing about real estate is that markets can change. Fluctuations are normal. Any agent will admit that there can be times of abundance followed by painful stalls that can leave even seasoned realtors wondering when they will get their next payday.
Here’s How To Adjust
As reported by the National Association of Realtors (NAR), brokers can help struggling real estate agents adapt to change by ensuring that they price homes according to the seller’s motivations, ensuring that their needs are met, whether they hope to sell in two weeks or two months. Agents should also ensure they are experts in their markets, becoming a wealth of knowledge for their clients. Finally, agents should track their return on investment to ensure that marketing strategies are effective and adjust them when they aren’t.
Understanding the Market
Real estate can be fickle. Even a slight change in something like mortgage rates can instantly change the state of the market. Understanding what affects the market can help agents navigate changes and better serve their clients. It can also help investors looking to pounce when prices are low.
According to Entrepreneur, high interest rates can make it harder for buyers to afford a home due to increased borrowing costs. Lending standards are also tightened, meaning fewer people may qualify for loans. Investors and buyers may be at an advantage, though. It can slow down inflation, stabilizing the market over time. It may also decrease competition, allowing buyers and investors to snag property they may have been priced out of in the last couple of years.
Looking To the Future
While interest rates have remained high for some time, even a slight dip could drive people to the market. Sellers who had been holding out may decide to list and buyers may feel more confident about an investment. Investors should consider taking advantage of a less competitive market before rates drop and more buyers enter the race.
Unfortunately, predicting a rate drop can be nearly impossible. While signs may point one way or another, there are no guarantees. It is essential to have a game plan, whether you are a seller, buyer or investor. Being able to adapt to a changing market can prove critical, particularly in times of uncertainty.
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