Part 2: The “Listing Agent” vs. The “Seller’s Advocate”: Understanding the Business Models
Imagine entrusting your home—the cornerstone of your dreams, memories, and financial future—to someone whose mission transcends mere profit. In the intricate dance of real estate, two philosophies emerge: one where your home becomes a billboard for an agent’s ambition, and another where it’s championed as a prize worth showcasing to the world. This is the story of the “Listing Agent” versus the “Seller’s Advocate”—a tale of diverging paths where the right choice doesn’t just sell your home, but also elevates its value, ensuring you reap the rewards of a strategy rooted in advocacy, balance, and brilliance.
The “Listing Agent” Model:
- Product Offered: A seller’s home for sale.
- Product Development: Seller’s home preparation (staging, cleaning, etc.).
- Product Marketing: Advertising and postcards primarily to the neighborhood to increase the agent’s visibility and attract more listings.
- Marketing Goal: To get more sellers.
- Increase to Margin: Primarily benefits the agent’s business.
The “Seller’s Advocate” Model:
- Product Offered: A seller’s home for sale.
- Product Development: Seller’s home preparation (staging, cleaning, etc.).
- Product Marketing: Advertising, potential on-site events, and creative marketing campaigns specifically targeted at potential buyers to increase exposure for the seller’s home.
- Marketing Goal: To get more buyers for the seller’s home.
- Increase to Margin: Primarily benefits the seller’s bottom line.
The crucial difference lies in who the marketing is designed to reach. The “listing agent” uses your home as a tool to attract more listings. The “seller’s advocate” invests in marketing that directly attracts buyers for your home. More buyer demand translates to a higher selling price.
The distinctions here, while stark, are key to have the home seller experience the best results. Keep in mind you really want a balanced agent that is proficient in executing both business models. Because you cannot just have an advocate that doesn’t have a profitable business; a broke agent won’t have the resources to promote your home. At the same time, a successful listing agent that doesn’t invest in your home by marketing it to a buyer audience for your home’s exposure likely short changes your final selling price.