February 15, 2025 • 14 mins
3:44 - Effective Real Estate Pricing Strategies and Vendor Discounting
8:25 - Becoming a Data Driven Real Estate Agent
9:21 - Real Estate Agents Exposed by Market Challenges
11:45 - The Impact of ChatGPT on Real Estate SEO
13:17 - Overcoming Health Challenges and Embracing Life's Adventures
My Clearance Rate: 4/7 SOLD
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Tom Panos (00:01):
Don't think that just because rates go down, prices
go up.
My first real big official dayof auctions for 2025 has just
taken place.
I did a couple last weekend.
This week there's more stock.
I did seven auctions todaySorry, seven were scheduled.
(00:26):
I did six auctions and fourhave sold, though one of them
had sold prior.
But if I was doing what everyauctioneer and agent does, I'll
just give you the total numberincluding the sold priors, and
that is four out of seven.
And what is the market like?
(00:46):
It is a mixed bag.
It's definitely not booming andI can tell you 100% that this
marketplace seems to have alittle bit more buyer energy
than it had towards the end oflast year.
It remains to be seen whetherthat is because we've had lower
(01:10):
than normal stock levels for thefirst six, seven weeks hi Aaron
of this year and that a stockis coming on now.
That will get a clearer picture.
And, of course, the big, bignews is the rate cut.
The rate cut that the marketshave factored in a 90% chance of
(01:30):
actually happening on Tuesday.
For me it's not a massive day,because I can tell you that when
you look at governments andwhen they adjust rates, you look
at governments and when theyadjust rates generally speaking,
they adjust rates going up fastand consistently, as we saw the
(01:53):
last few years when they adjustdown is that they're much more
cautious.
So there's every possibilitythat if we do get a rate cut in
February, we might not getanother rate cut for some time.
And don't be surprised if we doget a rate cut on Tuesday that
(02:18):
Albo might be actuallyannouncing the election.
Obviously, the mood will begood.
That's the time to go.
However, I said it last week,don't think that just because
rates go down, prices go up.
You saw what happened the lastfew years.
(02:41):
Rates went up 13 times, so youwould have thought prices should
go down.
They didn't.
They kept going up.
And the reason why is realestate markets are far more
sensitive to demand and supplyare far more sensitive to demand
(03:02):
and supply, and whether a ratedrops on Tuesday by a quarter of
a percent and on a milliondollars that's about 50 bucks a
week it's neither here nor there.
For many people, For a smallcohort of people, 50 bucks a
week is a lot of money.
What's your view?
The markets are saying there'sa 90% chance of a rate cut.
I actually think to myself.
No way in the world would I bethinking it's 90%.
(03:23):
There's every possibility inthe world.
Right now, sandra Bollock isunsure what they're going to do
on Tuesday and it's a decisionthat they're going to make you
know closer to the time thatthey're making.
That's my view.
I mean, in some of the mediatoday they're saying is it's
really more like 50-50, not90-10.
(03:44):
So yeah, and I've got to tellyou I've been, I use, and I
don't know why real estateagents don't use it more
regularly and that is a bigmetric that I look at is vendor
discount.
Vendor discount and that is howmuch a vendor discounts the
(04:04):
price of their property to sell.
It got the app on your mobilephone press markets and then you
just type in the suburb andthen there's lots of KPIs that
you can check on a suburb.
But the one that I really likeis the vendor discount, and the
(04:27):
reason is it's showing you howmuch vendors have to discount
their property to get it sold.
Hey, asia.
So if you go through theexercise and, by the way, for
the record, nearly everyone isdiscounting, end of story Only a
very small proportion ofproperties are ever sold at the
(04:51):
list price or over the listprice.
It is stock standard that avendor is going to be dropping,
reducing, aligning use the wordsthat you want to use to
actually sell their property.
And the reason why?
It's very simple it's not abuyer that determines on whether
a property is going to get sold, it's a vendor.
(05:13):
Because it's the vendor thatchooses on whether they adjust
their price and whether theyaccept an offer.
And if you go through RP datayou will see that late last year
vendor discounting was hoveringin many areas at over 5%.
(05:34):
In some areas I saw it was 7,8%.
So if you think about it, a $1million property people would
have to drop that property by 80grand to sell.
When I was in real estate wehad a formula that used to get
property sold in any market andfor good prices, in any market
(06:03):
and for good prices.
It was actually called list,adjust, sell.
Every vendor should be given thebenefit of the doubt to try and
get a good figure in the firstweek, and that's why I think
really good agents what they dois they'll go out into the
marketplace at least for a fewdays or a week, guiding a higher
number, aiming for a higherfigure, because there's always
(06:27):
the potential of a heart buyer,and a heart buyer is an
emotional buyer that will payovers.
So I think it's really good togo in and every vendor deserves
the benefit of getting topdollar.
But if you don't and you getyour buyer intel and it's
(06:47):
telling you you're at the upperend.
What you've got to do is a veryquick adjustment.
And the reason I say it's gotto be a quick adjustment is that
the buyer curve in real estateshows that most buyers will see
a property between day zero andday 30.
(07:07):
After day 30, it starts totrickle down and after day 45,
there is little engagement on aproperty.
So the longer it stays on themarket, the less engagement
there is.
So one of the big problems realestate agents make is what they
do is they'll aim for the heartbuyer, they'll go for a hopeful
(07:28):
figure, but then they don'tadjust if they don't get that
figure.
And then what happens is theylose that 30-day period.
And then what happens is theylose that 30-day period.
The market looks at theproperty, says well, we don't
see value in it.
They leave.
You adjust the price and reducethe figure at week five, but
the market's gone.
The market's gone, there is nopoint in actually doing it.
(07:51):
Then If there was ever a timeyou want to look good in real
estate, it's from day zero today 30.
Those of you that want to becomedata-based real estate agents,
I suggest that you.
Yes, aaron, I am thinking aboutusing, I am thinking about
(08:12):
coming back and doing the Sundaynight rant.
By the way, the only reason Istopped the Sunday night rant is
I was going through chemo andit was chemo was being done on a
Friday and I was sick as a dogover the weekend, so I stopped
doing it.
But that's not happening now.
Thank God for that.
So, team real estate agents, ifyou want to stop winging it,
(08:33):
because there's plenty of clownsout there that are just
stand-up comics in real estatethey just wing the whole thing.
There's no data to it.
Hey, I've got to tell you it'sreally, really simple Become a
data-driven agent.
(08:57):
Go on to CoreLogic, rp Data andpress markets on the app.
It's third, from the bottomdown the bottom.
Then you type the suburb andit's got everything you want.
And if you're not going to doit, I'm warning you.
I'm warning you.
I think it was Warren Buffettthat said it when the tide goes
out.
That's when you work out who'sbeen swimming with their
swimmers on and who's beenswimming naked.
Think about that.
Who's been faking it?
(09:18):
Right?
Well, they're being exposedbecause in this marketplace
right now, it's really clear tome, in this marketplace right
now it's really clear to me itis separating the men from the
boys.
So if you're an agent thatdoesn't have a listing
presentation that can win youthe business because you've got
a home maximization strategy,that you know how to actually do
(09:39):
great marketing and you canactually engage a big audience,
if you don't know how to be agreat negotiator when you get
that one buyer who wants aproperty, if you don't know how
you can market not just foractive buyers but also for
passive, aspirational buyers,who are often the ones that will
actually tip the price to thenext level up.
(09:59):
If you're a real estate agentthat actually goes in overprices
listings, keeps them overpricedfor two, three months, you're
not getting a listing, you'regetting a liability, you're
getting a turkey.
And then you look like anabsolute idiot because when
you're talking to your owner youcome back and you say, oh, yeah
, no, we got to drop the price.
(10:20):
Kitchen's too small, bedroomsare also too small.
Busy road.
Well, hello, hello, hello.
You sort of knew that when youappraised the property, so don't
go back to your owners tellingthem stuff you already knew of,
right?
The only information that youdon't have at the time that you
list the property is buyer intel.
That's the information you needto be assessing and making sure
(10:44):
that you're getting goodopinions or value or offers of
buyers so you can educate yourvendor.
So when the tide goes out,that's when you work out who's
been swimming with the swimmerson and who's been swimming naked
, and I can tell you there's alot that have been swimming
naked because they don't knowhow to list property and they
don't know how to have a decentconversation with their owner to
(11:05):
help them accept the reality ofthe marketplace, and they don't
know how to actually be adealmaker and work with a buyer.
These are the people that aregoing to get devastated in 2025
in this market.
And I've got to tell you I havenever in my time starting off a
year.
I'm 57 years of age.
(11:27):
I'm 57 years of age.
I have never, ever, been busier.
I'm pretty much on a planeevery day and my flights have
been getting in at midnight.
I reckon I would have done 50conferences so far this year,
and that included the fact thatI was spending a fair bit of
time in Byron Bay at the startof this year, bit of time in
(11:49):
Byron Bay at the start of thisyear.
So I'm just under the pump.
But I've got to tell you.
I've got to tell you, when youlove the work you do, you're
making passion your paycheck.
Don't ever forget that and Ithink one of the reasons I've
been so on so it's just so muchnew clients, new business from
people that I've had noconnection with.
And I thought I was getting itall through social media ads.
(12:10):
But we haven't been running adsfor ages.
It's all hey, lise, it's allbeen coming, believe it or not.
Chat GPT I've started asking allthe people that just called me
up chat GPT.
I would never have thought it.
So I went off and I tested it.
I go on there and I say needreal estate coaching?
(12:31):
Who's the best real estatecoach in Australia?
Always come up.
Best real estate auction inAustralia Always come up.
Biggest influencer Always comeup.
I'm not trying to pose off, I'mtrying to let you know.
Seo on chat GPT is massive andI'm telling you straight right
now.
I guarantee you, within months,a large proportion of people
(12:52):
that are thinking of sellingwill be going to chat GPT
because it's fast, it's easy andit's cheap, and they'll say
want to sell to Newtown, who'sthe best agent.
That's what's going to behappening.
So you better double down onSEO because I'm telling you
right here, right now, peoplewill always pick the easy way to
(13:15):
go off about making decisions.
Anyway, team, it has been arollercoaster ride for me over
the last month.
I'm not going to go into thedetails, it was a health issue,
but I had a wonderful meeting, awonderful meeting this week
with the number one cancerspecialist in the country.
(13:38):
It took me ages to meet withhim.
I have seen him before, a fewyears ago, but he just put me at
ease and told me that, based onwhat he sees and based on all
the new stuff that's out there,that I, in my head, should be
factoring on living a life thatis a long and a happy one.
(14:00):
And on that point, ladies andgentlemen, shorts are going on.
I'm going to enjoy the next twodays because we're in new
zealand next week.
Is that right?
Yes, I am.
I'm everywhere.
I was in perth, melbourne,brisbane, I'm in adelaide next
week too, and new zealand anyway, signing off.
(14:24):
God bless you all.
Don't think that just because rates go down, prices
go up.
My first real big official dayof auctions for 2025 has just
taken place.
I did a couple last weekend.
This week there's more stock.
I did seven auctions todaySorry, seven were scheduled.
(00:26):
I did six auctions and fourhave sold, though one of them
had sold prior.
But if I was doing what everyauctioneer and agent does, I'll
just give you the total numberincluding the sold priors, and
that is four out of seven.
And what is the market like?
(00:46):
It is a mixed bag.
It's definitely not booming andI can tell you 100% that this
marketplace seems to have alittle bit more buyer energy
than it had towards the end oflast year.
It remains to be seen whetherthat is because we've had lower
(01:10):
than normal stock levels for thefirst six, seven weeks hi Aaron
of this year and that a stockis coming on now.
That will get a clearer picture.
And, of course, the big, bignews is the rate cut.
The rate cut that the marketshave factored in a 90% chance of
(01:30):
actually happening on Tuesday.
For me it's not a massive day,because I can tell you that when
you look at governments andwhen they adjust rates, you look
at governments and when theyadjust rates generally speaking,
they adjust rates going up fastand consistently, as we saw the
(01:53):
last few years when they adjustdown is that they're much more
cautious.
So there's every possibilitythat if we do get a rate cut in
February, we might not getanother rate cut for some time.
And don't be surprised if we doget a rate cut on Tuesday that
(02:18):
Albo might be actuallyannouncing the election.
Obviously, the mood will begood.
That's the time to go.
However, I said it last week,don't think that just because
rates go down, prices go up.
You saw what happened the lastfew years.
(02:41):
Rates went up 13 times, so youwould have thought prices should
go down.
They didn't.
They kept going up.
And the reason why is realestate markets are far more
sensitive to demand and supplyare far more sensitive to demand
(03:02):
and supply, and whether a ratedrops on Tuesday by a quarter of
a percent and on a milliondollars that's about 50 bucks a
week it's neither here nor there.
For many people, For a smallcohort of people, 50 bucks a
week is a lot of money.
What's your view?
The markets are saying there'sa 90% chance of a rate cut.
I actually think to myself.
No way in the world would I bethinking it's 90%.
(03:23):
There's every possibility inthe world.
Right now, sandra Bollock isunsure what they're going to do
on Tuesday and it's a decisionthat they're going to make you
know closer to the time thatthey're making.
That's my view.
I mean, in some of the mediatoday they're saying is it's
really more like 50-50, not90-10.
(03:44):
So yeah, and I've got to tellyou I've been, I use, and I
don't know why real estateagents don't use it more
regularly and that is a bigmetric that I look at is vendor
discount.
Vendor discount and that is howmuch a vendor discounts the
(04:04):
price of their property to sell.
It got the app on your mobilephone press markets and then you
just type in the suburb andthen there's lots of KPIs that
you can check on a suburb.
But the one that I really likeis the vendor discount, and the
(04:27):
reason is it's showing you howmuch vendors have to discount
their property to get it sold.
Hey, asia.
So if you go through theexercise and, by the way, for
the record, nearly everyone isdiscounting, end of story Only a
very small proportion ofproperties are ever sold at the
(04:51):
list price or over the listprice.
It is stock standard that avendor is going to be dropping,
reducing, aligning use the wordsthat you want to use to
actually sell their property.
And the reason why?
It's very simple it's not abuyer that determines on whether
a property is going to get sold, it's a vendor.
(05:13):
Because it's the vendor thatchooses on whether they adjust
their price and whether theyaccept an offer.
And if you go through RP datayou will see that late last year
vendor discounting was hoveringin many areas at over 5%.
(05:34):
In some areas I saw it was 7,8%.
So if you think about it, a $1million property people would
have to drop that property by 80grand to sell.
When I was in real estate wehad a formula that used to get
property sold in any market andfor good prices, in any market
(06:03):
and for good prices.
It was actually called list,adjust, sell.
Every vendor should be given thebenefit of the doubt to try and
get a good figure in the firstweek, and that's why I think
really good agents what they dois they'll go out into the
marketplace at least for a fewdays or a week, guiding a higher
number, aiming for a higherfigure, because there's always
(06:27):
the potential of a heart buyer,and a heart buyer is an
emotional buyer that will payovers.
So I think it's really good togo in and every vendor deserves
the benefit of getting topdollar.
But if you don't and you getyour buyer intel and it's
(06:47):
telling you you're at the upperend.
What you've got to do is a veryquick adjustment.
And the reason I say it's gotto be a quick adjustment is that
the buyer curve in real estateshows that most buyers will see
a property between day zero andday 30.
(07:07):
After day 30, it starts totrickle down and after day 45,
there is little engagement on aproperty.
So the longer it stays on themarket, the less engagement
there is.
So one of the big problems realestate agents make is what they
do is they'll aim for the heartbuyer, they'll go for a hopeful
(07:28):
figure, but then they don'tadjust if they don't get that
figure.
And then what happens is theylose that 30-day period.
And then what happens is theylose that 30-day period.
The market looks at theproperty, says well, we don't
see value in it.
They leave.
You adjust the price and reducethe figure at week five, but
the market's gone.
The market's gone, there is nopoint in actually doing it.
(07:51):
Then If there was ever a timeyou want to look good in real
estate, it's from day zero today 30.
Those of you that want to becomedata-based real estate agents,
I suggest that you.
Yes, aaron, I am thinking aboutusing, I am thinking about
(08:12):
coming back and doing the Sundaynight rant.
By the way, the only reason Istopped the Sunday night rant is
I was going through chemo andit was chemo was being done on a
Friday and I was sick as a dogover the weekend, so I stopped
doing it.
But that's not happening now.
Thank God for that.
So, team real estate agents, ifyou want to stop winging it,
(08:33):
because there's plenty of clownsout there that are just
stand-up comics in real estatethey just wing the whole thing.
There's no data to it.
Hey, I've got to tell you it'sreally, really simple Become a
data-driven agent.
(08:57):
Go on to CoreLogic, rp Data andpress markets on the app.
It's third, from the bottomdown the bottom.
Then you type the suburb andit's got everything you want.
And if you're not going to doit, I'm warning you.
I'm warning you.
I think it was Warren Buffettthat said it when the tide goes
out.
That's when you work out who'sbeen swimming with their
swimmers on and who's beenswimming naked.
Think about that.
Who's been faking it?
(09:18):
Right?
Well, they're being exposedbecause in this marketplace
right now, it's really clear tome, in this marketplace right
now it's really clear to me itis separating the men from the
boys.
So if you're an agent thatdoesn't have a listing
presentation that can win youthe business because you've got
a home maximization strategy,that you know how to actually do
(09:39):
great marketing and you canactually engage a big audience,
if you don't know how to be agreat negotiator when you get
that one buyer who wants aproperty, if you don't know how
you can market not just foractive buyers but also for
passive, aspirational buyers,who are often the ones that will
actually tip the price to thenext level up.
(09:59):
If you're a real estate agentthat actually goes in overprices
listings, keeps them overpricedfor two, three months, you're
not getting a listing, you'regetting a liability, you're
getting a turkey.
And then you look like anabsolute idiot because when
you're talking to your owner youcome back and you say, oh, yeah
, no, we got to drop the price.
(10:20):
Kitchen's too small, bedroomsare also too small.
Busy road.
Well, hello, hello, hello.
You sort of knew that when youappraised the property, so don't
go back to your owners tellingthem stuff you already knew of,
right?
The only information that youdon't have at the time that you
list the property is buyer intel.
That's the information you needto be assessing and making sure
(10:44):
that you're getting goodopinions or value or offers of
buyers so you can educate yourvendor.
So when the tide goes out,that's when you work out who's
been swimming with the swimmerson and who's been swimming naked
, and I can tell you there's alot that have been swimming
naked because they don't knowhow to list property and they
don't know how to have a decentconversation with their owner to
(11:05):
help them accept the reality ofthe marketplace, and they don't
know how to actually be adealmaker and work with a buyer.
These are the people that aregoing to get devastated in 2025
in this market.
And I've got to tell you I havenever in my time starting off a
year.
I'm 57 years of age.
(11:27):
I'm 57 years of age.
I have never, ever, been busier.
I'm pretty much on a planeevery day and my flights have
been getting in at midnight.
I reckon I would have done 50conferences so far this year,
and that included the fact thatI was spending a fair bit of
time in Byron Bay at the startof this year, bit of time in
(11:49):
Byron Bay at the start of thisyear.
So I'm just under the pump.
But I've got to tell you.
I've got to tell you, when youlove the work you do, you're
making passion your paycheck.
Don't ever forget that and Ithink one of the reasons I've
been so on so it's just so muchnew clients, new business from
people that I've had noconnection with.
And I thought I was getting itall through social media ads.
(12:10):
But we haven't been running adsfor ages.
It's all hey, lise, it's allbeen coming, believe it or not.
Chat GPT I've started asking allthe people that just called me
up chat GPT.
I would never have thought it.
So I went off and I tested it.
I go on there and I say needreal estate coaching?
(12:31):
Who's the best real estatecoach in Australia?
Always come up.
Best real estate auction inAustralia Always come up.
Biggest influencer Always comeup.
I'm not trying to pose off, I'mtrying to let you know.
Seo on chat GPT is massive andI'm telling you straight right
now.
I guarantee you, within months,a large proportion of people
(12:52):
that are thinking of sellingwill be going to chat GPT
because it's fast, it's easy andit's cheap, and they'll say
want to sell to Newtown, who'sthe best agent.
That's what's going to behappening.
So you better double down onSEO because I'm telling you
right here, right now, peoplewill always pick the easy way to
(13:15):
go off about making decisions.
Anyway, team, it has been arollercoaster ride for me over
the last month.
I'm not going to go into thedetails, it was a health issue,
but I had a wonderful meeting, awonderful meeting this week
with the number one cancerspecialist in the country.
(13:38):
It took me ages to meet withhim.
I have seen him before, a fewyears ago, but he just put me at
ease and told me that, based onwhat he sees and based on all
the new stuff that's out there,that I, in my head, should be
factoring on living a life thatis a long and a happy one.
(14:00):
And on that point, ladies andgentlemen, shorts are going on.
I'm going to enjoy the next twodays because we're in new
zealand next week.
Is that right?
Yes, I am.
I'm everywhere.
I was in perth, melbourne,brisbane, I'm in adelaide next
week too, and new zealand anyway, signing off.
(14:24):
God bless you all.
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