First, there were handshake deals; now, there are hashtags. Real estate, as a services industry, has revolutionised over the past 50 years. Being an agent today is quite different to what it was in the 80s and 90s.

Many of my clients have worked in real estate since the 1980s and 1990s. Perhaps you have, too? Through countless conversations, I’ve heard fascinating stories about how the industry has transformed over the decades. From the early days of handwritten letters, letterbox drops, and handshake deals to today’s tech-driven world, their experiences paint a vivid picture of an industry that never stops evolving.

The real estate industry has undergone a seismic shift in recent decades. Once defined by local connections, handshake agreements, and door-to-door marketing, it is now dominated by social media campaigns, lead generation tools, and QR codes. This transformation has created opportunities and challenges for real estate agents and agencies.

To thrive in this new landscape, agents need two things: a tech-savvy approach to marketing and a business-minded perspective on managing income.

The evolution of real estate: What’s changed?

In the past, agents relied on personal relationships and community presence to maintain a stronghold in their local markets. Weekly letterbox drops, face-to-face meetings, and high-touch interactions were the pillars of success. It wasn’t uncommon for agents to control an area for decades, selling upwards of 50 homes a year and achieving consistent results through sheer familiarity and local dominance.

The changing face of real estate: Have you adapted?

Today, that stability has been replaced by a fast-moving and highly competitive market. Social media has levelled the playing field, enabling newer agents to gain visibility and disrupt long-standing reputations quickly. Digital tools allow for broader geographic targeting, but they also dilute the personalised touch that once defined real estate relationships. Agents are no longer just competing for property listings; they’re competing for attention in a crowded digital space.

What real estate used to be like

Community-driven approach:

  • Strong reliance on personal relationships, handshake deals, and word-of-mouth referrals.
  • Familiarity with local communities was a key advantage.

Traditional marketing:

  • Letterbox drops, black-and-white flyers, and personal visits to homes were central to outreach.
  • Simplicity and consistency in communication helped maintain visibility in the local market.

Stable market dominance:

  • Agents could dominate suburbs for decades by focusing on consistent branding and local expertise.
  • Sales volumes were higher, with agents selling 50-75 homes annually in a thriving market.

Franchise support:

  • Agencies offered clear structures, with shared resources like cars and split commissions, albeit at a cost.

What real estate is like now

Technological shift:

  • Emphasis on social media and digital platforms like Facebook and Instagram for marketing.
  • Lead generation tools, QR codes, and online advertising dominate outreach efforts.
  • The need for tech-savviness has increased, creating challenges for those less familiar with digital tools.

Intense competition:

  • Market fragmentation means controlling a suburb for long periods is rare.
  • Lower stock levels lead to reduced transaction volumes for many agents.

Independent operations:

  • Modern models like EXP Realty, One Agency and @Realty promote agent autonomy, offering higher commission splits but minimal support.
  • Agents face pressure to self-market and operate independently, often leading to varied and inconsistent branding.

Evolving client expectations:

  • Clients increasingly expect tech-driven marketing strategies.
  • Social media creates the perception of expertise, even for newer agents, disrupting long-standing reputations.

Reduced personal connection:

  • Digital communication often replaces in-person interactions, reducing the community-driven feel of the past.

The changing face of real estate: Have you adapted?

I’d love to hear your thoughts on what you feel are the most significant differences between real estate in the last century and this one. What have been the biggest hurdles for you to overcome? What do you continue to grapple with?

Why tech-savvy marketing is essential

In this digitally driven market, relying solely on traditional methods is a recipe for obscurity. Agents need to embrace technology to build and retain market share. Social media platforms like Facebook and Instagram are more than just communication tools; they’re essential vehicles for creating visibility, generating leads, and establishing authority. QR codes and landing pages can bridge the gap between offline and online interactions, ensuring potential clients can easily connect with your brand.

However, navigating this digital landscape requires expertise. Not every agent has the time, knowledge, or inclination to master social media algorithms or lead-generation strategies. This is where digital marketers come in. By partnering with professionals specialising in real estate marketing, agents can focus on what they do best—selling properties—while ensuring their online presence drives measurable results.

Don’t get distracted by shiny tech tools

In a conversation with an Adelaide agent, the idea was raised that “Real estate agents are like magpies.” Antony shared, “We are always hunting for the next shiny thing. It’s easy to be drawn in by the promise of the latest CRM, automated appraisal tool, or lead-generation platform, all claiming to revolutionise your business and deliver leads and property listings with little or no effort. And while these tools certainly have the potential to add value, simply signing up for them isn’t enough.”

Antony has hit the nail on the head. The key to success isn’t having all the digital tools—it’s choosing the right ones and using them effectively. A sleek app or a powerful platform won’t magically turn local homeowners into clients if you haven’t taken the time to learn how to use it properly or haven’t developed a clear strategy for following up on the leads it generates.

Rather than chasing every tech platform’s empty promise, step back and assess what your business genuinely needs. Where are the gaps? Does this digital tool save you time, help you connect with clients, or improve your marketing efforts? If the answer is yes, fantastic. If not, it’s just another shiny object cluttering your workflow and driving up your subscription costs.

At the end of the day, it’s not the tools themselves but how you use them that determines success. So, before you jump on the next big thing because your competitor has, ask yourself if it’s really adding value – or is it just a distraction.

The mindset shift for independent agents

Many agents are stepping away from franchise brands to operate independently. While this move offers greater autonomy and higher commission splits, it also demands a fundamental change in mindset. As an independent agent, you’re not just a salesperson; you’re a business owner. And like any business, yours needs reinvestment to grow.

In a franchise model, a portion of your commission went toward franchise fees, which funded marketing, branding, and other support systems. Now, that responsibility falls entirely on you. The commission you no longer pay the franchise isn’t “extra income” for holidays or personal spending. It’s working capital for your business.

The changing face of real estate: Have you adapted?

Here’s how to adopt a business-first mindset:

  • Set aside a marketing budget: Determine how much of your commission will go toward digital marketing, branding, and other growth initiatives. These funds are crucial for maintaining visibility and attracting clients.
  • Pay yourself a salary: Treat your business income as separate from your personal finances. Draw a consistent salary, just as you would in a traditional job, and reinvest the rest back into your business.
  • Plan for the future: Allocate funds for long-term growth, whether that’s upgrading your CRM system, investing in professional development, or expanding your service offerings.

Why reinvestment is non-negotiable

The temptation to treat your entire commission as personal income can be strong, especially when you’re seeing higher percentages than ever before. But without reinvestment, your business will stagnate. Think of the commission you’re saving as a reinvestment fund, not a windfall. By strategically allocating these funds, you build the infrastructure your business needs to thrive in a competitive and ever-changing industry.

The bottom line to building real estate agent revenue

Real estate has evolved from a localised, relationship-driven business to a dynamic, tech-focused industry. Agents who want to succeed must embrace digital marketing and adopt a business-owner mindset. By partnering with marketing professionals and reinvesting wisely, you can maintain and grow your market share, even in a challenging landscape. Remember, the commission you keep is not just for you—it’s for your business. Use it wisely, and you’ll position yourself for long-term success.

Book a free one-hour consultation with me

If you’re still finding this new world of real estate challenging to navigate, why not book a free one-hour consultation with me? Together, we can create a clear road map to help you tackle the digital landscape and put yourself in a stronger position—both digitally and financially. Let’s get started on building your success.

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Written by Melanie Hoole

My team and I specialise in helping real estate and property professionals perfect their personal brand, build a first-class digital profile and implement inbound marketing activities to attract leads. If you are unsure which direction to take with your digital marketing contact me for help.