It has come to our attention that amid the chaos unfolding in the Middle East and concerns over interest rate hikes and additional fees, we seem to have overlooked the fact that it’s already Movember.

In the real estate sector, here’s what we’re hearing.

Buyers holding back, sellers wanting more

As we step into November, some clients are apprehensive about buying, while those looking to sell are seeking higher prices for their homes. With the end of the year approaching, some of us are yet to meet our financial targets.

The current real estate market is indeed peculiar. We find ourselves far from the usual profit margins we’re accustomed to, and fear has taken hold of both buyers and sellers. While we’ve weathered market downturns in the past, the wait for things to pick up again feels longer than expected.

Lines of credit are stretched, and property listings are stagnant for up to 60 days. Some clients are hesitant to sell their properties, believing they’re worth more than what realtors recommend, and the recent interest rate hike has dampened the market’s enthusiasm.

Tough decisions all around

The financial strain has also led to some difficult decisions, like letting go of assistants and considering part-time or offshore alternatives while maintaining business integrity. The discussion of extending or forgiving COVID bailout loans is making headlines, offering a glimmer of hope to many who wish to retain the funds without repayment.

Come January, a new health insurance fee will be introduced, potentially prompting some realtors to leave the industry in search of alternative employment or ventures.

On the individual agent level, many are exploring the option of joining smaller to mid-sized teams to secure their financial stability.

From the brokerage perspective, despite the sluggish market, there’s an opportunity to explore mergers and acquisitions, particularly targeting brokerages with a headcount of three to 100 agents.

The bright side

We’re observing a landscape that might appear grim, but there’s also a sense of transformation. Those with resilience and sales acumen are adapting to close deals and navigate through these challenging times, while others are considering alternative career paths to support themselves during the upcoming holiday season.

This transitional phase is shaping the landscape of 2024, impacting both Canada and the United States, although Canada seems to be experiencing a more significant impact.

Moving forward

Now is the time to maintain consistent client engagement and nurture relationships that have been built over the years. While social media has its advantages, the personal touch remains essential.

It’s becoming evident that the talent market is adjusting to new realities, with expectations regarding salary, vacation, bonuses, benefits, remote work and other perks being reconsidered.

Administrative professionals within the real estate industry are exploring roles in commercial real estate, law, dental offices and banks, seeking greater stability and work-life balance.

Moreover, many senior and C-level positions are undergoing restructuring or elimination, and while some label it as disruption, it’s more about adapting to evolving market conditions.

What can be done when assistance is still needed, but we have resource constraints?

The answer lies in the option to hire fractional assistants and marketers who work on an hourly basis, eliminating the need for a year-long commitment. This allows you to delegate tasks while you focus on closing sales or running your operations smoothly.

Collectively work together to achieve change and provide value

It’s essential to tune out the constant news cycle and concentrate on a promising future. We will overcome these challenges by supporting each other with integrity and empathy, ultimately making the real estate industry more accountable and better than ever before.

Having had the privilege of speaking with seasoned professionals in the real estate sector, a common theme emerges: the belief that a single individual can’t drive significant change.

But, what if we collectively work towards shaping the future of the real estate industry? It’s time to take action and pave the way forward.

In these shifting tides of the real estate market, it’s paramount to pivot and refocus our efforts on providing even more value to our clients. The changing landscape calls for innovative solutions and a heightened commitment to meeting our clients’ evolving needs. By adapting to these challenges and offering exceptional service, we not only weather the storm but also establish ourselves as trusted partners in their real estate journey.

As we near the close of 2023, I’d like to make a humble request: be human and be kind during these challenging times, and you’ll likely find good fortune when the market eventually turns for the better.

Stay safe, and may you be blessed in the days ahead.
~ Your humble real estate recruiter, Ghaz