Monday, February 13th, 2012
Tough market conditions and an ageing workforce will force many real estate agents to re-assess how they manage their businesses in 2012.

According to Raine & Horne SA Chief Executive Kevin Magee, around 1 in 10 real estate businesses across South Australia closed their doors for good in 2011, while a large percentage of those still working in SA real estate are in their 60s.

He is urging industry professionals to take Raine & Horne SA’s lead and invest more in professional development and creative marketing strategies to get ahead in 2012 – or risk staff burnout.

“What we have right now is an ageing workforce, but the market conditions aren’t conducive to retiring or hiring new staff in large numbers. This year is going to be about redefining of real estate practice. Those who can adapt will do well,” Mr Magee said.

“While many groups have come a long way in terms of evolving their branding and marketing of the whole group, you still see many individual agents working according to a 1950s business model. Either they are closing a sale or chasing a new listing, but when the market is flat and the turnaround on these tasks is much slower, they’re unsure of what else to do. They become slaves to the business with little reward at the end.

“Agents urgently need to stop limiting themselves and move faster to adopt contemporary practices found in other industries - as well as strive to develop new practices that set a standard for business as a whole, not just real estate.”

Raine & Horne SA has been working to this philosophy for over three years, with new training, Franchisee support programs and marketing strategies that place it ahead of the curve.

In 2011, the group established itself as the number one represented real estate brand in SA on YouTube, LinkedIn and Twitter. It was the first in SA to adopt QR codes in print advertising and signage, and was selected as a leading example for other groups in a Federal Government Case Study on staff training and youth development.

Raine & Horne SA also released an eMagazine in 2011 that is unrivalled internationally as a combined listing guide and information source for buyers, investors, sellers, renters and industry professionals. 2011 also saw the group’s website upgraded to give it the highest search engine optimisation capabilities in the industry.

“Today’s market is full of technology-savvy and time poor consumers who are attuned to a good buy. While experienced professionals and tested methods are invaluable to our industry, times are changing and it’s our responsibility to communicate in line with these expectations,” Mr Magee said.

The good news is that for those agents prepared to adapt, buyers aren’t expected to sit on their hands forever.

“Forecasters predicting doom and gloom generate publicity but their claims rarely reflect reality. The property market generally in Australia has in fact remained fairly steady during past downturns, particularly when compared with the stock market,” Mr Magee said.

“What’s happening in Europe is certainly affecting consumer sentiment and we’re likely to see prices return only to moderate growth during 2012, but buyers won’t sit on their hands forever. People still need somewhere to live and investors are once again recognising the merit of Will Rogers’ timeless advice to: ‘buy land, cos’ they ain’t making it anymore’.

“Our team is positive and ready for more growth in 2012."

Contact Profile

Raine & Horne SA

Raine & Horne is a leading real estate organisation for providing truly comprehensive real estate sales, leasing, management and consulting services to all our clients, whether large or small.
Anna Kenneally
P: 08 82676888
M: 0433 271 700


real estate ageing workforce economic impact on property prices



More Formats

View QR Code