Significant increase despite the buyer's purchase principle and dry markets

Judge holds gavel

RE/MAX Germany Southwest increases sales by nine percent.

 

RE/MAX Germany Southwest real estate network increased by nine percent in 2015. This occurred despite the fact that there are still far more prospective buyers than available properties on the existing real estate market, and the newly introduced "buyer pays" principle has led to a decline in the rental business.

RE/MAX Germany Southwest generated gross commission revenue of €16.2 million last year, compared to €14.9 million the previous year. This represents a substantial increase in a tight market. The network's owners and real estate agents, which covers the German states of Baden-Württemberg, Rhineland-Palatinate, and Saarland, brokered properties with a total value of approximately €300 million in 2015 – €25 million more than in 2014. Average commission revenue per agent was 9 percent higher in 2015 than the previous year. Kurt Friedl, Managing Director of RE/MAX Germany Southwest, is very pleased with the results. "The increase in revenue is partly attributable to rising property prices. The slump in the rental market did not have a significant impact, as our owners and real estate agents primarily focus on sales," Friedl explained.

 Innovative ideas and networking

A key factor in our success is the service quality provided by our highly trained real estate agents. "Mystery shopping," where test clients put the agents to the test, ensures consistently excellent service. This builds trust with property owners. Joint transactions within our network are a major contributor to our success. Through interaction between real estate agencies, supply and demand can be matched more quickly, enabling us to find the perfect property for each client.

Five new locations

Last year saw the opening of five new real estate shops. The new locations are Waiblingen, Grenzach-Wyhlen in the district of Lörrach, Breisach am Rhein, Remseck am Neckar and Trier.

"We don't have any fortune hunters here."

The company contributes to its success through the comprehensive training of its self-employed real estate agents: "We don't have any opportunists here. Real estate agents who complete our in-house training program demonstrate their knowledge in an examination administered by the Stuttgart Chamber of Industry and Commerce (IHK)." "Those who aspire to even greater heights can take the examination to become a certified real estate manager (WAF) in cooperation with the Nürtingen-Geislingen University of Applied Sciences. The fourth cohort will complete this demanding advanced training program in February." In the new year, RE/MAX Germany Southwest aims to continue its growth and recruit new real estate agents. In February, we will offer online coaching specifically tailored to the needs of RE/MAX for our new real estate agents.

 What will 2016 bring?

The company has ambitious plans for 2016. As a special project, we will launch radio advertising on SWR 1 and SWR 4 in the spring. Also in the spring, we will undergo a system check by the International Center for Franchising and Cooperation (F&C). RE/MAX Germany Southwest has already received the coveted "Gold Award" twice in a row, in 2009 and 2013, for the above-average satisfaction of its franchisees.

Another highlight in the RE/MAX calendar is the Europa Convention in Rome, which brings together around 1,000 RE/MAX networkers from all over Europe in October.

About the author

Harry Mohr

Real estate agent (Chamber of Industry and Commerce)

Harry Mohr, author of this article

Harry Mohr

Real estate agent (Chamber of Industry and Commerce)

Harry Mohr is a real estate agent and owner of Immobilien Kontor Saarlouis. As a DEKRA-certified real estate appraiser, he supports his colleagues and clients in all areas of real estate marketing.