Kicking off RISMedia’s 37th Annual CEO & Leadership Exchange in Washington, D.C., Sept. 3, Bess Freedman—CEO of Brown Harris Stevens—delivered a keynote address, emphasizing that in the wake of larger turmoil from lawsuits and macroeconomic headwinds, rebuilding trust for the consumer has become the priority.
Referencing surveys of consumers regarding trust in various professions, Freedman said that “we are in a big fat trust crisis today,” claiming that only 20% of respondents rated real estate agents either “high” or “very high” in ethics and honesty.
National polls have consistently shown that real estate agents rate somewhere in the middle of the road in terms of ethics and trust, though it is not clear if the lawsuits have made a lasting dent in those ratings.
According to Freedman, the profession has become too transactional and has moved away from what really matters—relationships, says Freedman.
“Consumers don’t know who to trust anymore…(t)hey wonder if we are really on their side—are we just trying to make a sale?” she says. “Trust is not some abstract value. It’s essential to every relationship that we build.”
Be unreasonably transparent
Addressing an audience of a couple hundred leading brokers and agents from around the country, Freedman explained that one of the most effective ways to begin rebuilding trust is to be “unreasonably transparent” with your clients, meaning being upfront about commissions, market realities and home values—even when the truth is difficult to deliver.
People don’t want to hear sales pitches; they want honesty, she noted.
“We need to be upfront with our clients about commissions, about market conditions, everything. When you’re with a seller, and they think something is worth $7 million but you know it’s worth $4 million, you have to tell them the hard truth,” she said. “People don’t want to hear sales pitches. They want honesty. So, let’s educate versus persuade.”
Reinvent the role of the agent
Agents must go beyond being seen as middlemen and embrace the role of trusted advisors, Freedman emphasized.
“The world will see you as you see yourselves,” she told the room filled with a great many real estate agents. “We are trusted advisors just like lawyers and financial planners. We provide expertise, empathy and clear guidance, and take care of people.”
Touching on technology and the most popular two-letter acronym today, AI, Freedman said agents should utilize technology, but do so purposefully. She noted that she did not use AI to write her speech, urging audience members to recognize when their authentic, unique voice was needed.
Technology should simplify the client experience, but not replace the human touch, Freedman told the audience. “We need to embrace tools that bring value, efficiency and clarity to the people we serve. Never underestimate the value of human connection.”
A call to action
Freedman closed with a challenge for agents to take personal responsibility for restoring the industry’s reputation.
“Tomorrow morning, ask yourself one simple question: What will I do today to earn trust—not demand it, not expect it, not assume it, but to actually earn it,” she says. “Because if every one of us commits to that discipline—moment by moment, deal by deal, relationship by relationship—we won’t just rebuild the trust we’ve lost; we will redefine what it means to be a real estate professional.”
