American Real Estate v. European Real Estate

Real estate is different throughout the world. Each country has their own culture, laws, practices, norms, taboos, etc. They all come to life when dealing with business such as real estate. Let’s take a look at the European way of handling real estate, and how different it really is. 

  1. The MLS is American

European real estate doesn’t have a centralized database, or industry infrastructure for that matter. They simply don’t have one. However, Japan and Mexico have been working on creating their own version of the MLS. 

There’s no real structure for real estate information, as one listing may contain several different agents. Since this is the case, the buyer is the most important part of the deal, not so much the listing itself. 

The way it goes is anyone can bring a buyer and that’s not a strong point for the industries professionalism. Accompanied with other factors, this is one reason why real estate isn’t viewed as gloriously as it is here in America. 

  1. Not much entrepreneurial spirit in Europe

Another major difference is the company and office structure. A large portion of European agents work in small offices who are content with their lives. Typically the office is a small shop right on the street, and they have anywhere from three to six agents, and the owner is one of them. The owner is also usually the top selling agent. 

Europe is changing though. The traditional real estate models are fading as technology is pushing them out, and creating a greater significance on franchising. 

European markets have seen some American brands like Century 21 and Remax. The emergence of these companies have changed the way europeans do business. They have a new way of thinking about business, and a real sense of professionalism. 

The bigger firms began offering more resources in marketing and training to its agents, which generates more money in their pockets.  

  1. There’s no star status of agents in Europe.

Europeans don’t practice the star system we do here in the states. They kind of want to blend in, and not really stand out. U.S. agents build their brand, or their team; European agents are not taught that way. 

Most agents over the pond blend in with one another and there is very little differentiation. They sell their brand, not themselves which is unlike the American tradition. It’s common a buyer may not be too familiar with their agent, having to guess what their name is or where they work. 

Just a little information on how the markets differ.

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