{"id":3824,"date":"2022-12-28T21:24:52","date_gmt":"2022-12-28T21:24:52","guid":{"rendered":"https:\/\/preprod.realtrends.com\/blog\/2022\/12\/28\/agents-gear-up-for-a-turbulent-2023-housing-market\/"},"modified":"2025-03-13T02:48:32","modified_gmt":"2025-03-13T02:48:32","slug":"agents-gear-up-for-a-turbulent-2023-housing-market","status":"publish","type":"post","link":"https:\/\/preprod.realtrends.com\/blog\/2022\/12\/28\/agents-gear-up-for-a-turbulent-2023-housing-market\/","title":{"rendered":"Agents gear up for a turbulent 2023 housing market"},"content":{"rendered":"\n

The housing market looks a lot different than it did just 12 months ago<\/a> in cities and metropolitan areas across the country, and agents and brokers have had to adapt.<\/p>\n\n\n\n

\u201cIf anyone thinks they are going to sell real estate in \u201923<\/a> like they did in \u201920, \u201921 or early \u201922, they aren\u2019t going to make it,\u201d Nick Bailey, the president of RE\/MAX<\/strong> said.<\/p>\n\n\n\n

As of December 18, 2022, the nationwide median for days on market was 70 days, up from 49 days a year ago. The share of homes with price decreases jumped from 26% a year prior to 41% this year, and the Altos Research Market Action Index score fell from a 90-day average of 54.86 to 40.09, according to data<\/a> from Altos Research<\/strong>. <\/p>\n\n\n\n

In addition, mortgage rates<\/a> are currently hovering around 6.3% compared to 3.28% a year ago, and Redfin<\/strong> reports that the bidding war rate<\/a> on offers written by its agents is 44.6%, down 22.7 percentage points from a year ago. It’s a tough housing market, and experts don’t think it will improve much in the first half of 2023.<\/p>\n\n\n\n

\u201cThe uniqueness of the COVID market and what it took to be successful in that market, those skills probably aren\u2019t going to mean as much going forward,\u201d Ken Johnson<\/a>, a real estate professor at Florida Atlantic University <\/strong>and a former agent, said. \u201cWe are going into a cycle where it is very difficult to sell property.\u201d<\/p>\n\n\n\n

\u201cAll of these things that we kind of took a little for granted we are going back to. We are going back to marketing spans of 60, 120, 180 days. If I am going to take a listing forward, I\u2019ve got to be good at marketing my property through the MLS and marketing it to other brokers,\u201d Johnson continued. \u201cWe are going to see more heavily negotiated sales agreements, whereas before everything was sold as is for really high cash prices with no contingencies. Agents on both sides of the transaction are going to develop or dust off those skills, as they haven\u2019t really been used for a few years.\u201d<\/p>\n\n\n\n

Or, as Keller Williams\u2019 Marc King told RealTrends<\/strong> in June<\/a>: \u201cRight now, we are leaving a speed-based market and entering into a skill-based market.\u201d<\/p>\n\n\n\n

For Bryce Schuenke, a top-producing Re\/MAX agent<\/a> in the Minneapolis-Saint Paul metro area and member of The Minnesota Real Estate Team<\/strong>, this has meant spending more time being an educational resource for his clients.<\/p>\n\n\n\n

\u201cDuring this time it will be super important to maintain your prospecting \u2014 making phone calls to current and past clients, checking in to see how they are doing and asking any questions they have about the market or inflation, and just calm any fears they might have,\u201d Schuenke said. <\/p>\n\n\n\n

Schuenke also noted that it is now more important than ever to set realistic expectations with sellers. <\/p>\n\n\n\n

\u201cIn the last couple of years, I think people got used to the idea that a home would sell in a day or two, or maybe within a few hours, but that isn\u2019t the case anymore. So it is really important to let clients know what they can expect prior to entering the market and making it clear that marketing is now key,\u201d he said. <\/p>\n\n\n\n

Out in the Pasadena metro area, Tracy Do, a local Coldwell Banker<\/strong><\/a> <\/strong>agent and leader <\/a>of the Tracy Do Team<\/strong><\/a>, is also increasing her marketing efforts.<\/p>\n\n\n\n

\u201cWith prices leveling and demand decreasing, we are being mindful of our overall operating budget, but still increasing our advertising dollars,\u201d Do said. \u201cWe are doing a lot of social media advertising and then Google <\/strong>ads as well and increasing the budgets on those campaigns \u2014 and then also making sure our print campaigns are also effective.\u201d<\/p>\n\n\n\n

Alison Elder, a top-producing<\/a> Lake Tahoe-based Berkshire Hathaway Homeservices Drysdale Properties<\/strong> <\/a>agent, is working on better targeted campaigns. <\/p>\n\n\n\n

\u201cWe are spending a ton of time reaching into our database and designing and launching advertising that is pertinent as we work to better touch our sphere,\u201d Elder said. <\/p>\n\n\n\n

In addition to refining her digital marketing campaigns, Elder said she is using some of the \u201cdown time\u201d afforded by the slower market conditions to organize her business.<\/p>\n\n\n\n

\u201cIt is a good time really for any agent to take a look at their local market and set reasonable goals,\u201d Elder said. \u201cWe are setting schedules for seasonal launches, working on better integrating with Berkshire (she moved her operation to BHHS earlier this month), developing our advertising budget, and evaluating all of the programs we have launched and what we are paying for. Are there any wasteful dollars? We are budgeting a profitable business at 20% less than this year.\u201d<\/p>\n\n\n\n

In addition to retooling their business plans, many top agents are working on furthering their real estate education through coaching and continuing education courses.<\/p>\n\n\n\n

\u201cI think no matter what profession someone is in, even if they have been doing it a long time, I don\u2019t think you can have enough education,\u201d Schuenke said. \u201cContinuously figuring out and learning different things is important to staying on top of the game. Personally, I take as many classes as I can. I have a master\u2019s degree from before I got into real estate, so education has always been a cornerstone of how I started and how I continue to conduct my business. Anytime you can grab a class that is relevant for today\u2019s marketplace, do it.\u201d <\/p>\n\n\n\n

While agents know they will most likely never see a housing market like 2021 or early 2022 again, they are grateful that the market shift has provided them with an opportunity to catch their breath.<\/p>\n\n\n\n

\u201cI have checked in with everyone on my team about the market forecast for 2023, and after the last couple of years where the work has been so intense, everybody is kind of happy to have a little bit of downtime,\u201d Do said. \u201cIf that downtime extends too long, that will be another story, but for now, no one is concerned.\u201d<\/p>\n\n\n\n

Scott Michaels, who works in the formerly white-hot city of Austin, Texas<\/a>, shares a similar sentiment. <\/p>\n\n\n\n

\u201cI\u2019ve never experienced anything like what we did from the middle of 2020 through March of 2022 and I wasn\u2019t alone. Realtors all over were saying the same thing,\u201d the Compass <\/strong>agent said. \u201cYou just did what you could to keep yourself healthy and sane.\u201d<\/p>\n\n\n\n

Michaels said the housing market slowdown has freed up time to work on parts of his business that got neglected during the height of the pandemic housing market.<\/p>\n\n\n\n

\u201cFarming your area, keeping in contact with past clients<\/a>, the slowdown has allowed us to refocus on those things that are vital to keep our business thriving into the future,\u201d Michaels said.<\/p>\n","protected":false},"excerpt":{"rendered":"

The housing market looks a lot different than it did just 12 months ago in cities and metropolitan areas across the country, and agents and brokers have had to adapt. \u201cIf anyone thinks they are going to sell real estate in \u201923 like they did in \u201920, \u201921 or early \u201922, they aren\u2019t going to […]<\/p>\n","protected":false},"author":34740,"featured_media":4822,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3255],"tags":[],"coauthors":[1760],"class_list":["post-3824","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-archive"],"acf":[],"yoast_head":"\nAgents gear up for a turbulent 2023 housing market - RealTrends - Blog<\/title>\n<meta name=\"description\" content=\"With the housing market slowing, agents are adjusting their business plans, furthering their education and regrouping for 2023.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/preprod.realtrends.com\/blog\/2022\/12\/28\/agents-gear-up-for-a-turbulent-2023-housing-market\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Agents gear up for a turbulent 2023 housing market\" \/>\n<meta property=\"og:description\" content=\"With the housing market slowing, agents are adjusting their business plans, furthering their education and regrouping for 2023.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/preprod.realtrends.com\/blog\/2022\/12\/28\/agents-gear-up-for-a-turbulent-2023-housing-market\/\" \/>\n<meta property=\"og:site_name\" content=\"RealTrends - 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