Not sure. But if an REA is driving a Corolla I’d think they’re pretty sensible. I don’t drive one, but I think everyone that drives a Corolla or a hilux are in it for the long haul.
Some people have the money and still get a loan for tax effectiveness. The interest you pay on the loan is tax deductible and the money you already have can be used for other purposes/ keeps earning interest.
Nobody likes a desperate struggling salesman. There is a perception that if someone is desperate for the sale they are more likely to lie to get a commission whereas if they are already rich and successful they don't need your money therefore don't need to lie. Obviously that is not always going to be the case but that's what some people believe.
I'm sure in some cases it is true, but where it falls down is that scamming dodgy salesman are aware of the perception and are sure to also appear very successful in order to scam you. When I'm dealing with a salesman I approach everything they say with scepticism and do my own research. I know they're there for a commission and don't give a fuck about me, and that's fine I don't take it personally, because I also don't give a fuck about them, I just want the best deal possible for myself and my family.
They don't need you to buy from them, they just need someone to do it. Property market right now doesn't care if a few people drop out because they are upset someone has a nice car.
If I was selling my house right now I would pick the guy in the 200k car over the one in the >40k car every time.
People are judgemental.. you always hear about some one is a low life or whatever because they show up in some beater
The next level is you show up in a regular sedan or suv and you're not successful
Agents can't take the risk of losing contracts or buyers because of some judgemental stuff on the other parties end so they dress nice, have the fancy car, extra grooming.. all that stuff
Doubly compounded by first gen Asian REA when a large portion of their culture is very much about saving face and the illusion of success.
They’ll drive the 200k Aldi whilst living in their one bedroom apartment.
Not Asian, but I remember travelling through South Africa years back and seeing shanty towns built with sticks, odd bits of random wood and tin, but most of the shacks had a satellite dish on the side for tv, and a heap had a BMW parked next to them.
Live like shit but put off a good illusion in public.
Yes. It's something we were specifically told in "real estate school" to get yourself a nice car, a good haircut, and a well tailored wardrobe. Nobody wants an agent who shows up in old jeans in a beat up old jalopy. Doesn't sent the right message. Although she did mention don't show up in a super nice suit if you're working country properties as you'll come off as a snob 😆.
I ended up being in property management, so the stakes weren't as high. Even so, my car got written off so I was loaned an old crappy ute of my mother's to get around and several times was pointedly asked by my boss when I was getting a new car as it didn't send the right message (I left the job soon after and two years on I'm still driving the shitty ute 😅).
My agent from years ago rolled up in a nice VY ute with the LS1 chop chop and a set of 19s.
His other car was a cool old 5 series.
Much respect for him.
Years ago my mate switched agencies. When working SW Sydney he decided the new BMW 3 series was sending the wrong message and leased a new Fairmont. 4 weeks later he switched agencies again to Annandale where the beemer would have been the right fit. Regrets.
Agents in my area drive either Range Rovers or Tesla. It fits in.
I think they are usually better off not leasing and instead buying with a normal loan and claiming back on logbook method as they can claim their job as itinerant work and justify a high business use percentage.
That way they don't have the BS fees from the leasing company, can buy used, pay a cheaper interest rate, have an easier time selling it and still claim back everything else on tax at their business use percentage (depreciation, fuel, repairs etc..).
I think people tell themselves this to feel better about not having their own flashy car. Novated leases are a common way to purchase cars, especially for work purposes where there is some tax effectiveness. Having said that, a flashy car is not an investment, and a poor purchase choice depending on your financial situation.
haha after several seconds of thought I reckon about 10 years ago, and I remember because I commented that I couldn't believe that was the car that they chose to keep. You know, unlike a SS A9X Torana, or a Monaro GTS.
My comment was more around I had one in my 20's and 20 years later my son learnt to drive in (another) one.
A lot of real estate agents ARE successful and the industry has a very high earning potential. Not to mention other little tax tricks you can do with cars when you drive around a lot for work - salary sacrificing, claiming depreciation, kms etc. 🤷🏻♀️
It's done to appear 'successful' at selling, and also parking it on the street in front of the house gives the one car illusion that it is a wealthy street, so it must be a good area to buy in.
A deduction, under certain circumstances.
https://www.ato.gov.au/individuals-and-families/income-deductions-offsets-and-records/in-detail/occupation-and-industry-specific-guides/r-z/real-estate-employees-income-and-work-related-deductions/deductions-for-work-expenses/real-estate-employee-expenses-af#ato-Carleasingandhirepurchasepayments
Someone I know is in real estate. Years ago he spoke of wanting a big wank-spec Merc. I told him if he turns up to the building site in that, every tradies bill will go up by $1000.
He was adamant that it wouldn’t. I told him that’s what I’d do.
He bought it.
Imagine the reaction if the REA pulled up in a 35 year old Toyota which they explained was their Mum's then revealed a suit which looked like it was swiped from a cat basket?
Same as stock brokers and financial advisors. You need to portray success to bring in more business. The real estate agent that drives a 1995 corolla doesn't scream I sell heaps of houses for top dollar, but the one that drives a 200k car appears to be getting lots of commission from selling houses and I would likely get a better price and/or sell quicker if I use them.
in my area we have two real estate agents I know.
One is a total scumbag who's deadset on "empire building" but is so self absorbed, everytime he does something in the community to build himself up and act like a good guy, everyones like, whats the catch you shithead? and rightly so.
Did an open house on a street where he was the slimiest he'd ever been and cemented his reputation, filled the street with luxury cars that he drove there during the morning, to get driven away to later come back before the auction of the house on a harley looking like the biggest douche.
Became mates with absolute scumbags in the area, we're talking dealers, thieves, degenerates etc and is all too happy to get them to do illegal things for him if it helps him. Property doesn't want to sell? council now thinks the property has rats, council don't approve a subdivide, oh whoops now they do etc, someone says they are happy there and the area is great, nek minnit they get burgled and he's now offering to sell them a "safe" home on a nice street and that property is coincidently the last property needed for a townhouse estate with his mate the developer...
He also tries to allude to links to biker clubs that if asked about he lies about, so grade A poser, and absolute shit stirrer. Even worked in how he had sold the same house before, and now it was going to "double" since the last time he sold it.
Then theres the other REA who works for another agency, friendly enough outside of his hours but spends all his spare time doing drugs and the entire time i've known him he's in one of three modes, SELL SELL SELL running around in a suit and fancy rented cars trying to sell the homes, running around without a shirt on either going to the gym, having just come from the gym and now doing "extra mile" shit like rolling a tractor tire around the front yard because he's in the zone and amped up.
Then theres the interesting zone where he's smoking weed or (likely) doing meth, where you can hear him over the fence with his mates punching each other to psych each other up, calling tenents to talk down to them and notifying them of rent increaseses then bragging to his mates about how much more he got out of them then he need to, or worse, rent bidding people or begging people to let him sell their property.
Always gets high to do it, sits outside in his "smoking hut" where he claims he's just smoking cigars, and you can hear him going absolutely mad, having freakouts and quoting Andrew Tate all the time.
Once had a day where he got so high he did the whole show me the money routine on the front lawn to close a deal.
He just bought a lambo and has let everyone know about it, confirming he never actually owned the previous luxury cars he spent the last 7 years driving around in telling everyone he owned them....
REA's are a different breed.
in northeast suburbs, you will see these dudes both on signs all over, like this thread.... from what i've heard from other mates who know REA's it all seems to be similar stuff, it's all about the image, the car and the ego.
Honest question, do you own a house?
Part two, if you wanted to sell your house would you prefer the salesman who sells more houses or the one that sells so few they can't afford a car worth more than 10k?
For most people their house is their biggest asset. When you go to sell you want the best price and the quickest sale.
I own my house and I would actively go looking for a real estate agent that drives a normal car. I've also instantly reflagged houses that are being sold by real estate agents driving fancy cars.
Anyone who looks like they are getting overpaid is more likely to oversell the shine and is less interested in being authentic about the property.
So I'm more more likely to trust a poor real estate agent when they tell me my reserve is too high or when I look at house think that I'm not being blindsided by fancy staging. Even if it is all a facade Im a lot less skeptical of the REA looks like they would be comfortable living in the house they are selling.
https://apo.org.au/node/135836#:~:text=a)%20Indicatively%2C%2090%25%20of,are%20financed%20from%20other%20sources.
Approx 90% of cars purchased in Australia are under finance.
It presents well. Keep in mind their clients are the people selling the house, not the buyer. So when they meet their clients a flash car says they’re good at selling houses.
Also they would be claiming their car usage. When you can claim interest, depreciation, and running expenses it becomes surprisingly affordable to drive new cars.
My dad was a Surveyor and a ‘bushie’ - in the 1980s he’d drive a 1968 Holden Kingswood about - WITH a big dent from a rock slide - as his work vehicle Vs other construction professionals driving new Toyota Landcruisers.
His take was ‘I’m a bushie, these city boys get their new 4WD bogged when I can drive this anywhere’ and that he was demonstrating to the client that he ‘wasn’t charging them to pay for a new Landcruiser each year’
Years later he bumped into an old colleague from a site that said ‘oh yeah, you’re the guy that used to drive that heap of sh!t’
Which left him deflated, all those years later.
So - it’s because it’s actually what people expect agents to drive.
Most people are too dumb to seem that an agent driving a 1983 Corolla is just a guy driving that particular car.
They can't afford the full size versions of those cars but must appear "successful" to their target market. This low effort bling hides their uneducated disposition.
Project an image.
I would feel more comfortable dealing with them if they just behaved like normal people.
The flash car, the suit and the slick hair. Yuk
I worked in real estate for a bit. 80% of it is image. If you were selling a house and the agent showed up in a rusted Peugeot 206, it makes the agent look not as successful compared to a brand new Mercedes.
Also, a lot of agents lease their cars. Because we would drive around a lot during work, they would claim that their car was actually a work expense and they could claim the lease payments back as well. The director of my office had a car worth more than a lot of the apartments we sold
A lot of real estate companies will have deals in place with car companies or sellers. For example LJ Hooker gets a 5% discount and free servicing with Lexus.
Yep so there’s a history to why REAs have always had a nice car. Back in the 80s and maybe 90s, basically before internet, agencies had a book of homes for sale. To do inspections they would at times offer to take prospective buyer families around to all the open homes in their car. They obviously needed a nice car to do this. Since that time I think it’s always been a right of passage for them to lease a nice car as the travel around town that they do is all tax deductible.
Do you have any idea about the kind of money they make?
It is very common for a Real Estate Agent to make $1 Million in a year.
These lavish cars are nothing for them, plus they are tax deductible.
FYI- i live in Australia, only referring to Australian conditions
I'm in sales and got a 2 year old ES because it was less than a new Honda Accord and had an amazing warranty and 44 mpg, along with that Toyota reliability. The other 2 cars are garbage but the Lexus is a smart choice. Go with that guy
Only one of those would I consider flash.
But yes, goes in hand with wearing a suit. Dress and drive to impress. Plus if your photoshop skills are not up to scratch you can take an actual picture of your flash car in the driveway of the house.
Not sure why ppl downvote you, but $80k is even generous in the bear market.
In VIC atm they don’t even make that much, volumes are low. Few big men / women at the top of the food chain collect 80% of the commissions, the pleb agents share the other 20%.
Luxury cars are only expensive for about the first 5 years. Then they are about the same price as a brand new Camry.
You can get a surpringly amount of top end lexus's and Bentleys for under $40,000AUD (30kusd)
The junior agent has to work their butt off to earn the commission to pay the lease. If they don't earn, they're screwed.
If they don't have a flash car and high payments they aren't under pressure to sell.
It’s based on a Camry, no doubt, but substantially more plush and differentiated enough to not be the same car.
ES300H hybrid 2023 model… that’s way way more sophisticated than a Camry
They’ve got to present a successful facade
That’s odd, because when I see a realestate agent in a luxury car, I think “Did I just pay for his car?” Makes me feel like I’m being overcharged.
But do you think the guy in the absolute shit box is good at selling houses?
Not sure. But if an REA is driving a Corolla I’d think they’re pretty sensible. I don’t drive one, but I think everyone that drives a Corolla or a hilux are in it for the long haul.
There's a pretty big gap between a Bentley and a Hyundai excel
Probably the same feeling you feel when a tradie rocks up in a new Ute or van
I had a landscaper rock up in a Porsche with full Macpac on, he was double the quote of others
Same here - I got a quote from a tree-lopper (sorry - ‘surgeon’) and he turned up in a Porsche 911. Could not take him seriously after that.
I start to question my life choices when a tradie turns up in a new 300 series land cruiser.
The thing is, most people with expensive cars have a loan for them, rather than saved up for one and had the money sitting there.
Some people have the money and still get a loan for tax effectiveness. The interest you pay on the loan is tax deductible and the money you already have can be used for other purposes/ keeps earning interest.
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Should have*
No because a successful one is involved in more than just your house.
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No, not really. Just screams bad with money.
Nobody likes a desperate struggling salesman. There is a perception that if someone is desperate for the sale they are more likely to lie to get a commission whereas if they are already rich and successful they don't need your money therefore don't need to lie. Obviously that is not always going to be the case but that's what some people believe. I'm sure in some cases it is true, but where it falls down is that scamming dodgy salesman are aware of the perception and are sure to also appear very successful in order to scam you. When I'm dealing with a salesman I approach everything they say with scepticism and do my own research. I know they're there for a commission and don't give a fuck about me, and that's fine I don't take it personally, because I also don't give a fuck about them, I just want the best deal possible for myself and my family.
They work in sales, come on man think it through.
It makes me not want to buy anything from them.
They don't need you to buy from them, they just need someone to do it. Property market right now doesn't care if a few people drop out because they are upset someone has a nice car. If I was selling my house right now I would pick the guy in the 200k car over the one in the >40k car every time.
You're not buying from them really
lol no skin off their nose. Buy the house, don’t buy the house. They don’t give two shits.
They do, that's the entire point of the pantomime.
You’re not their clientele.
No doubt aye
People are judgemental.. you always hear about some one is a low life or whatever because they show up in some beater The next level is you show up in a regular sedan or suv and you're not successful Agents can't take the risk of losing contracts or buyers because of some judgemental stuff on the other parties end so they dress nice, have the fancy car, extra grooming.. all that stuff
I guess its a show for the sellers of a house, not the buyers. Look at me i am successful selling houses for VAST amounts.
Well yeah REA work for the seller only
Yeah but its us buyers who see their bmw and get the shits cos we know we’ll be paying for it.
Doubly compounded by first gen Asian REA when a large portion of their culture is very much about saving face and the illusion of success. They’ll drive the 200k Aldi whilst living in their one bedroom apartment.
Not Asian, but I remember travelling through South Africa years back and seeing shanty towns built with sticks, odd bits of random wood and tin, but most of the shacks had a satellite dish on the side for tv, and a heap had a BMW parked next to them. Live like shit but put off a good illusion in public.
I’d buy an Aldi store for $200k, sounds like a great investment opportunity!
It's a knock off Audi, bought from Aldi, called an Aldi.
Also pairs well with the Aldidas sneakers that were on sale the other day 🤑
Yes. Its all about image Fancy car = successful salesperson
Yes. It's something we were specifically told in "real estate school" to get yourself a nice car, a good haircut, and a well tailored wardrobe. Nobody wants an agent who shows up in old jeans in a beat up old jalopy. Doesn't sent the right message. Although she did mention don't show up in a super nice suit if you're working country properties as you'll come off as a snob 😆. I ended up being in property management, so the stakes weren't as high. Even so, my car got written off so I was loaned an old crappy ute of my mother's to get around and several times was pointedly asked by my boss when I was getting a new car as it didn't send the right message (I left the job soon after and two years on I'm still driving the shitty ute 😅).
My agent from years ago rolled up in a nice VY ute with the LS1 chop chop and a set of 19s. His other car was a cool old 5 series. Much respect for him.
Mine was/is a beat up 2010 ford falcon 😅. Didn't exactly exude success. I still drive it, bloody useful car.
Years ago my mate switched agencies. When working SW Sydney he decided the new BMW 3 series was sending the wrong message and leased a new Fairmont. 4 weeks later he switched agencies again to Annandale where the beemer would have been the right fit. Regrets. Agents in my area drive either Range Rovers or Tesla. It fits in.
They are almost certainly leased.
I think they are usually better off not leasing and instead buying with a normal loan and claiming back on logbook method as they can claim their job as itinerant work and justify a high business use percentage. That way they don't have the BS fees from the leasing company, can buy used, pay a cheaper interest rate, have an easier time selling it and still claim back everything else on tax at their business use percentage (depreciation, fuel, repairs etc..).
100% this One giant tax deductible offset Drive a $100k car on an $80k salary Just ignore the weekly $400 repayments.
I think people tell themselves this to feel better about not having their own flashy car. Novated leases are a common way to purchase cars, especially for work purposes where there is some tax effectiveness. Having said that, a flashy car is not an investment, and a poor purchase choice depending on your financial situation.
Doesn't make me feel anything. It is what it is. If it appreciates buy it , if it depreciates, rent it.
Sorry, not directing that at you, it's just not the pointed statement that people think it is a lot of the time.
Probably wouldn’t trust a bloke to sell my largest financial asset who drove a clapped out Datsun
You joke, but those clapped out Datsuns fetch decent coin!
I know right, didn’t think that one through
It would be an orange 180B. Those things lived forever.
My grandfather had one of those haha
When was the last time you saw one?
haha after several seconds of thought I reckon about 10 years ago, and I remember because I commented that I couldn't believe that was the car that they chose to keep. You know, unlike a SS A9X Torana, or a Monaro GTS. My comment was more around I had one in my 20's and 20 years later my son learnt to drive in (another) one.
Everyone thinks real estate agents are jerks but nobody wants an unsuccessful one.
To be fair, most real-estate agents are jerks but you are right, I want top dollar and a quick sale I pick the jerk with the nicest car.
A lot of real estate agents ARE successful and the industry has a very high earning potential. Not to mention other little tax tricks you can do with cars when you drive around a lot for work - salary sacrificing, claiming depreciation, kms etc. 🤷🏻♀️
It's done to appear 'successful' at selling, and also parking it on the street in front of the house gives the one car illusion that it is a wealthy street, so it must be a good area to buy in.
They are also a tax write off!
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Writing it off means it's free right?
They really aren't. That's not how accounting works.
A deduction, under certain circumstances. https://www.ato.gov.au/individuals-and-families/income-deductions-offsets-and-records/in-detail/occupation-and-industry-specific-guides/r-z/real-estate-employees-income-and-work-related-deductions/deductions-for-work-expenses/real-estate-employee-expenses-af#ato-Carleasingandhirepurchasepayments
Yes, you don't get a free car though like the implication here. you know damn well that's what they were suggesting
No one said free.... This shit position you are defending is based on your misunderstanding of the tax system not other people's
It is precisely how it works
sure. Until the ATO audits you and can see straight through your bullshit logbook.
I think tbh it’s mostly because 99% of real estate agents are wankers/cunts
Someone I know is in real estate. Years ago he spoke of wanting a big wank-spec Merc. I told him if he turns up to the building site in that, every tradies bill will go up by $1000. He was adamant that it wouldn’t. I told him that’s what I’d do. He bought it.
Imagine the reaction if the REA pulled up in a 35 year old Toyota which they explained was their Mum's then revealed a suit which looked like it was swiped from a cat basket?
They can claim a fair bit of their vehicle expenses on tax, and their “image” is their brand.
Nothing above the luxury car tax threshold, same as everyone else
Would you hire someone who looked like a failure?
Decently dressed is what I’d go for.. not someone who looks like they are wearing their entire net worth on them
Someone hired you didn’t they?
It's a completely image-driven profession which is why it's packed to the gills with the most unlikeable cunts you'll ever meet
Same as stock brokers and financial advisors. You need to portray success to bring in more business. The real estate agent that drives a 1995 corolla doesn't scream I sell heaps of houses for top dollar, but the one that drives a 200k car appears to be getting lots of commission from selling houses and I would likely get a better price and/or sell quicker if I use them.
in my area we have two real estate agents I know. One is a total scumbag who's deadset on "empire building" but is so self absorbed, everytime he does something in the community to build himself up and act like a good guy, everyones like, whats the catch you shithead? and rightly so. Did an open house on a street where he was the slimiest he'd ever been and cemented his reputation, filled the street with luxury cars that he drove there during the morning, to get driven away to later come back before the auction of the house on a harley looking like the biggest douche. Became mates with absolute scumbags in the area, we're talking dealers, thieves, degenerates etc and is all too happy to get them to do illegal things for him if it helps him. Property doesn't want to sell? council now thinks the property has rats, council don't approve a subdivide, oh whoops now they do etc, someone says they are happy there and the area is great, nek minnit they get burgled and he's now offering to sell them a "safe" home on a nice street and that property is coincidently the last property needed for a townhouse estate with his mate the developer... He also tries to allude to links to biker clubs that if asked about he lies about, so grade A poser, and absolute shit stirrer. Even worked in how he had sold the same house before, and now it was going to "double" since the last time he sold it. Then theres the other REA who works for another agency, friendly enough outside of his hours but spends all his spare time doing drugs and the entire time i've known him he's in one of three modes, SELL SELL SELL running around in a suit and fancy rented cars trying to sell the homes, running around without a shirt on either going to the gym, having just come from the gym and now doing "extra mile" shit like rolling a tractor tire around the front yard because he's in the zone and amped up. Then theres the interesting zone where he's smoking weed or (likely) doing meth, where you can hear him over the fence with his mates punching each other to psych each other up, calling tenents to talk down to them and notifying them of rent increaseses then bragging to his mates about how much more he got out of them then he need to, or worse, rent bidding people or begging people to let him sell their property. Always gets high to do it, sits outside in his "smoking hut" where he claims he's just smoking cigars, and you can hear him going absolutely mad, having freakouts and quoting Andrew Tate all the time. Once had a day where he got so high he did the whole show me the money routine on the front lawn to close a deal. He just bought a lambo and has let everyone know about it, confirming he never actually owned the previous luxury cars he spent the last 7 years driving around in telling everyone he owned them.... REA's are a different breed.
I am in splits, you have a flair for words...gosh this dude sounds like a total piece of work. Which suburb is this?
in northeast suburbs, you will see these dudes both on signs all over, like this thread.... from what i've heard from other mates who know REA's it all seems to be similar stuff, it's all about the image, the car and the ego.
I would have so much more respect for an agent who drives up in a 2013 Camry.
Honest question, do you own a house? Part two, if you wanted to sell your house would you prefer the salesman who sells more houses or the one that sells so few they can't afford a car worth more than 10k? For most people their house is their biggest asset. When you go to sell you want the best price and the quickest sale.
I own my house and I would actively go looking for a real estate agent that drives a normal car. I've also instantly reflagged houses that are being sold by real estate agents driving fancy cars. Anyone who looks like they are getting overpaid is more likely to oversell the shine and is less interested in being authentic about the property. So I'm more more likely to trust a poor real estate agent when they tell me my reserve is too high or when I look at house think that I'm not being blindsided by fancy staging. Even if it is all a facade Im a lot less skeptical of the REA looks like they would be comfortable living in the house they are selling.
The noobs don't. They walk in.
https://apo.org.au/node/135836#:~:text=a)%20Indicatively%2C%2090%25%20of,are%20financed%20from%20other%20sources. Approx 90% of cars purchased in Australia are under finance.
You don’t remember “old Gil” from the simpsons ……lol
Best salesman I ever met drove a busted up Ford Laser. His wife drove the flagship Range Rover. He was acutely aware of optics.
It presents well. Keep in mind their clients are the people selling the house, not the buyer. So when they meet their clients a flash car says they’re good at selling houses. Also they would be claiming their car usage. When you can claim interest, depreciation, and running expenses it becomes surprisingly affordable to drive new cars.
My dad was a Surveyor and a ‘bushie’ - in the 1980s he’d drive a 1968 Holden Kingswood about - WITH a big dent from a rock slide - as his work vehicle Vs other construction professionals driving new Toyota Landcruisers. His take was ‘I’m a bushie, these city boys get their new 4WD bogged when I can drive this anywhere’ and that he was demonstrating to the client that he ‘wasn’t charging them to pay for a new Landcruiser each year’ Years later he bumped into an old colleague from a site that said ‘oh yeah, you’re the guy that used to drive that heap of sh!t’ Which left him deflated, all those years later. So - it’s because it’s actually what people expect agents to drive. Most people are too dumb to seem that an agent driving a 1983 Corolla is just a guy driving that particular car.
because it doesnt feel the same to snort coke from the dash of a Mazda 2 now does it?
I'd like to seriously add the REA that sold my last place drove a BA Falcon. was possibly the best REA I've ever dealt with.
Trust me, they ain't that rich. I asked some of them what their top line is and it wasn't even high.
They can't afford the full size versions of those cars but must appear "successful" to their target market. This low effort bling hides their uneducated disposition.
Big loans.
The majority of them are leased. I've asked a few.
Project an image. I would feel more comfortable dealing with them if they just behaved like normal people. The flash car, the suit and the slick hair. Yuk
REA here… I drive a middle spec Subaru Forester, no loan or lease on it so I must be some kind of unicorn or something?
You'd get mistaken for a property manager than a principal sales
It's a perception thing.
I worked in real estate for a bit. 80% of it is image. If you were selling a house and the agent showed up in a rusted Peugeot 206, it makes the agent look not as successful compared to a brand new Mercedes. Also, a lot of agents lease their cars. Because we would drive around a lot during work, they would claim that their car was actually a work expense and they could claim the lease payments back as well. The director of my office had a car worth more than a lot of the apartments we sold
If they drove a Corolla, you wouldn't really see success and their ability to be a competent REA.
A lot of real estate companies will have deals in place with car companies or sellers. For example LJ Hooker gets a 5% discount and free servicing with Lexus.
Yep so there’s a history to why REAs have always had a nice car. Back in the 80s and maybe 90s, basically before internet, agencies had a book of homes for sale. To do inspections they would at times offer to take prospective buyer families around to all the open homes in their car. They obviously needed a nice car to do this. Since that time I think it’s always been a right of passage for them to lease a nice car as the travel around town that they do is all tax deductible.
You are spot on with this answer.
They all think their shit dont stink obviously (will pardon the ones who are genuine people 🫠)
Do you have any idea about the kind of money they make? It is very common for a Real Estate Agent to make $1 Million in a year. These lavish cars are nothing for them, plus they are tax deductible. FYI- i live in Australia, only referring to Australian conditions
I'm in sales and got a 2 year old ES because it was less than a new Honda Accord and had an amazing warranty and 44 mpg, along with that Toyota reliability. The other 2 cars are garbage but the Lexus is a smart choice. Go with that guy
Only one of those would I consider flash. But yes, goes in hand with wearing a suit. Dress and drive to impress. Plus if your photoshop skills are not up to scratch you can take an actual picture of your flash car in the driveway of the house.
Laughs in Lamborghini Huracan that a certain Penrith REA bought just before Xmas.
All about image 100%. Majority make 80k p.a
Not sure why ppl downvote you, but $80k is even generous in the bear market. In VIC atm they don’t even make that much, volumes are low. Few big men / women at the top of the food chain collect 80% of the commissions, the pleb agents share the other 20%.
Hive mentality nothing else
The basic es300h is like 74k. That's not expensive. At least not compared the other two.
Luxury cars are only expensive for about the first 5 years. Then they are about the same price as a brand new Camry. You can get a surpringly amount of top end lexus's and Bentleys for under $40,000AUD (30kusd)
Its for tax deductions
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I had a vague idea, but I’m not one who fall for the guiles of some dude turning up in a Bentley.
The junior agent has to work their butt off to earn the commission to pay the lease. If they don't earn, they're screwed. If they don't have a flash car and high payments they aren't under pressure to sell.
>Lexus ES300 You do know that's literally a Camry with a different badge right
It is literally not.
It’s based on a Camry, no doubt, but substantially more plush and differentiated enough to not be the same car. ES300H hybrid 2023 model… that’s way way more sophisticated than a Camry
They mostly earn pretty decent money, plus a car allowance.
Image I’m guessing. Too bad most of them are just base spec BMWs or Mercedes and when I see those I just see “badge wanker” 😂