The Future Of The Real Estate Industry

An Interview With HAR President and CEO Bob Hale


The Changing Real Estate Market

Earlier this week, Pioneer School of Real Estate owner, Monte Wall, attended the Broker Informational hosted by the Houston Association of Realtors (HAR).  We caught up with Mr. Bob Hale, President and CEO of HAR, for his thoughts on how we can expect the real estate industry to change over the coming years.

Mr. Hale had great insight on what to expect simply by observing what’s going on currently in the industry, and by looking at how other industries have been forced to change the way they conduct business to meet the needs of today’s consumer.  Companies like Blockbuster lost out to Netflix because they didn’t take seriously the benefit that Netflix could provide to changing family dynamics.  Walmart has not benefited from Amazon’s ability to deliver quality products quickly right to the consumer’s front door.  Uber and Lyft will definitely have an impact on various transportation companies.  And it’s still a wait-and-see on the impact that AirBNB will have on the hotel industry.

Venture Capital Influx

In real estate, the influx of venture capital is driving companies like Zillow, Redfin, Opendoor, and Knock.  These companies are considered iBuyers.  If you haven’t heard that term before, an iBuyer has data that allows them to make an offer on a home, close in a matter of days, and then resell the home.  These companies are certainly disrupting the market.  But should Realtors be alarmed?  Absolutely not!  Realtors do, however, need to be aware that they are in a changing environment and adjust accordingly.  Know your competition, both current and future.  And stay ahead of your competitor.

Stay Ahead of The Competition

How do you stay ahead?  Start now to build a good reputation in your local market.  Provide good service to your current clients so that they keep coming back and referring business to you.  Continue to study and learn, not because you are required to, but because you want to be a top-notch agent.  Know your local market by visiting open houses, preparing CMA’s, and reading articles provided by your local MLS.

Rest assured, the Texas Real Estate Commission works hard to protect our industry.  Real estate sales will require an active license in our fine state and if you are the best-of-the-best then you have no need to worry.  Keep working diligently, take care of your clients, and continue to work on your skills and you will have great success for many years to come.