This week on The Home Builder Digital Marketing Podcast, Bill Gaul of BuildersUpdate.com joins Greg and Kevin to discuss how home builders who team up with agents experience more visibility in the market and an increase in sales.
In new home construction, there is often a disconnect between builders and realtors and the value they can offer each other. Bill says,
“There’s a genuine mistrust between the builder, the agent, and the buyer. The buyers want to bring the money and they’re thinking like, what are they getting for it? The agent is doing all the work. They’re finding the homes and they need to be compensated. The builder, who maybe makes 15, 20 percent commissions, they see an agent walking up and they think their job is so easy. All they do is walk up with their Mercedes and they get 3%. So, there’s this genuine mistrust.”
Realtors are instrumental in new home sales and builders who expand connections with agents no matter what the new home market environment is gain a competitive advantage. Bill explains,
“I see a lot of builders that only use agents when the times are tough, and then when the times are good, they walk away, and they don’t remember it, but you build a relationship over time. I would really want builders to think of that as a long-term investment. According to NAR, 74% of new home construction is sold by agents, 74%. If you’re not making that many homes from an agent sale, then someone is eating off your plate.”
Home builders who foster relationships with agents a priority see sales growth. Bill says,
“Recognize that if you’re not talking to that agent, someone else is. So, use that opportunity to invite them out to your home, have the agent become educated about your product, and then they can go out there and become your salesman out there talking to people. Because if they don’t know your product, they don’t know your location, they don’t know what distinguishes you as a builder, they can’t sell you to their buyers.”
Listen to this week’s episode to learn more about how builders and agents can work together in a mutually beneficial way to sell more new homes.
About the Guest:
Bill is a West Point graduate and former U.S. Army helicopter pilot. He transitioned into the high-tech industry in 1986, later becoming an executive recruiter specializing in transitioning military personnel. In 1991, he founded Orion International, a successful recruitment company. Bill’s expertise led him to create The Destiny Group and later sell it to Landmark Media. He also established Builders Update, a national new home inventory database, leveraging his extensive knowledge in startups, technology, and real estate. Bill resides in Austin and is known for his entrepreneurial ventures and natural leadership.