Channel Partners – Need of the hour!

channel partner need of the hour

Modernization and development are the actual ‘need of the hour’, especially in the highly competitive real estate industry. Antedating a transformed growth in the housing and property sector in India since the last decade has enriched the emergence of channel partners.

Channel Partners – The Definition…

Channel partners are agencies, which take complete responsibility of selling an absolute or a part of a number of realty projects. The selling services are designed but are not limited to a pre-agreed duration, for which these channel partners receive a set fees or commission for the rendered services. Many times, these agencies also countersign for the realty projects that are dealt by them.

With big-time real estate players emerging the Indian market, the need of property mediators has aroused to a zenith. Channel partners generate resources for both real estate companies and property seekers, making it a win-win situation for everyone involved.Channel partners work distinctively by buying the property from land and housing developers and then selling it to the end users, not all though.

Real Estate Brokers and Channel Partners – The Difference:

Both, channel partners and real estate brokers/agents do similar kind of work; however, there’s a vast difference in their style of working.

Brokers or real estate agents behave like mediators/links between the buyer and the seller; on the completion of a deal, he/she attains commission from both. Brokers are subjected to no entitled liability and have no cost involved of their own, which makes them less reliable compared to channel partners.

Channel Partners are mainly institutions catering to multi-locations, multi-developers, multi-products at the same time so they are in the industry to stay for longer time. Many times channel partners agree and spend an amount of lead generation & promotion for the property on behalf of the developer. Some may also underwrite property that needs to be sold by paying the developer or the property owner a fixed percentage of the cost of the property, the channel partners (CP) may use the amount for sub-brokering and promotions to ensure that the property is sold.

Once the transaction is done, channel partners receive an agreed professional fees, which is between developer and CP. Also, it helps a buyer to have Better, Transparent deal since CP would be normally selling in bulk.

Channel Partners Are Today’s Needs:

The new means and procedures evolving in the real estate market of the recent times have made the builders and real estate developers quickly adopt the innovative concept of channelizing the estate business. Initially, the concept of channel partners did puzzle the entire marketplace; however, the booming profit graphs answered it all.E.g. for buying a car, one has to visit the respectively authorised showrooms & not the manufacturing plant. Similarly, in real estate the developer person going to speak only good about his product, CP gets you the neutral, unbiased view & right bottom rate that buyer should buy at.

Builders enjoy various benefits by affiliating the channel partners:

The offer guaranteed sale of the property. Once a builder associates himself and his estate with channel partners, he rests assured that his property shall be sold.

Additionally, the owners need not worry about the promotional and marketing part. Some or many of the marketing and promotional activities are taken care of by the channel partners.

With the above listed and several other factual advantages, channel partners have become a hot topic in the emerging and modernising real estate sector, especially in the Tier 2 cities such as Pune, Aurangabad, Ahmednagar, Indore, Vadodara, Faridabad and Surat.