It does not sit well but it’s true, Real Estate Agents suffer from poor public sentiment. A 2016 Roy Morgan research study, found that real estate agents were rated as one of Australia’s least ethical and honest professions. The public opinion poll rated thirty different professions, with nurses taking the top ranking (at 92 per cent), while real estate agents were the third-lowest (at 10 per cent), beating advertising people (at 9 per cent) and car salespeople (at 4 per cent). There is universal mistrust, often misguided, for the real estate industry in general in Australia. A history of perceived conniving tactics, high commission rates and seeing directors of agencies roll up to auctions in 500k sports cars does not add to the public’s appetite for the profession.
This perception, combined with rising digital disruption encroaching on traditional business models, means being a real estate agent isn’t always easy. Within this framework, innovative companies have emerged looking to change the sector for the better. Jim’s Real Estate recently entered the market and is looking to recruit agents into its unique real estate franchise model.
An Industry Ripe for Disruption
So the real estate industry is ripe for disruption. A new ethical customer service oriented way of doing things? The Jim’s Group, which has now around 4000 franchisees in 52 separate categories is known for building an empire by focusing on customer satisfaction, is now entering the real estate game.
According to Jamie Byard Divisional Franchisor at Jim’s Real Estate, “There are a heap of Australian households who have come to trust and respect the Jim’s brand. In fact there is a Jim’s representative right now servicing one of the 160,000 calls we receive or on one of the 800,000 jobs we do per year”. This sort of reach in to average Australian home owners is extremely powerful. It’s a database which most Real Estate Agencies would kill for.
So how does Jim’s Real Estate, plan to disrupt the system?
According to Byard, it simply involves keeping the customer happy. “We understand that in real estate, negotiating with a professional agent can be daunting. It is for that reason we have a unique system where we let the vendor make us an offer on what they feel is fair commission to pay. Our Franchisees can decide if they are prepared to take that offer or not, but at least it is a fair starting point for the client. There are limits on how low the commission, can go. Its typically between about 1 per cent and 3 per cent.”
What is in it for The Jim’s Real Estate, Agent/ Franchisee?
A Jim’s Real Estate agent keeps 100% of the commission earned. There is a monthly fee around $1,800 which includes marketing, licensing and technology costs, but as far as earnings go, the sky’s the limit. Franchisees also benefit from a lower cost base as they aren’t required to have a fixed office. This means they can immediately be more competitive in the rates they offer.
Trish Mewett who is Divisional Franchisor for Jim’s Real Estate and responsible for the day to day running of the Jims Real Estate Business, explains the type of person who would make the ideal franchisee. “We are looking for franchisees who have a knowledge and understanding of the industry but also understand the importance of customer service in a real estate transaction. They need to be intrinsically focused and motivated and love what they do”.
The business will first launch in Victoria, so any licensed Real Estate Agents who have been in the game for 12 months or more are encouraged to have a confidential discussion. As Byard explains, “It is effectively a turn key business. All they need to do is the regular day to day tasks that any good agent does and the success and rewards will come from their hard work. This is an opportunity without the restraints of an agency reaping 60% of your hard work, and a brand name that rings true to a large percentage of the Australian home owners.”
The Jim’s Group now has over 50 divisions the majority of whom remain dedicated to service provision of the homeowner. Jim’s Real Estate provides you with specific training and support which gives you a significant point of difference in the market.
This is an opportunity that allows you to keep 100% of your commissions, and a brand name that is trusted by a large percentage of Australian Homeowners.
For those with the right skill set, this is a ground floor opportunity not to be missed. Get in touch below for a confidential discussion. For more info head to this link.