A Fundamental Mismatch in Skills?

There is a difference between the traditional real estate industry definition of the skills, role and responsibility of the real estate agent and that increasingly being defined by the industry regulator.

A recent New Zealand Herald article covering the penalty handed out to an agency highlighted this dichotomy. It made me ask the question - is this separation turning into a yawning gap? 

While some in the industry publish books on the importance of white shirts with conservative ties and staying close to the boss and receptionist to get leads, the industry regulator is focused on the technical skills in property law, titles, building knowledge, local body rules etc

The skills most valued by traditional agents is selling, particularly prospecting for new listings. The case referenced in the article suggests the industry regulator appears to see technical project management capability as key. They are very different skill sets. Just search the web, there are plenty of sites outling the requirements:

Selling Skills :

• Prospecting
  
• Questioning
  
• Listening
  
• Presentation Skills
  
• Rapport building
  
• Objection Handling
  
• Persistence
  
• Organisation
  
• Focus
  

Project Management Skills :

• Analysis
  
• Communication
  
• Budgeting
  
• Teamwork
  
• Intelligence
  
• Calmness
  
• Time Management
  

The regulator is defining responsibilities more broadly too. The industry has traditionally defined delivering an unconditional sale and purchase agreement (along with collecting the deposit) as the completion of the job (that's when they get paid), with settlement reserved for handing over keys and delivering gift baskets. The regulator in its comments (section 4.1) recorded concern that the agency manager had not developed contingency plans in the case settlement did not occur. In other words the agent has the role and responsibility to project manage on behalf of the owner and purchaser the legal and physical transfer of the property. How long before that is when commission is paid?

A move from personal selling skills to gain listings to skill sets based on expertise in marketing and advertising, project management and technical skills has interesting implications for industry training and development, recruitment and management – but also the basic incentives and remuneration used. Is current industry recruitment, training and development missing the target and this the beginning of a fundamental change to the way the industry operates and the people that work in it?