You likely wouldn’t buy the first house you look at… so why would you select the first broker?
One of the most critical aspects of starting your successful real estate career is selecting a sponsoring broker to affiliate your license with. This decision could be what makes or breaks your career. Consider the tips below when trying to find the right broker:
Interview Multiple Brokers
Not all real estate companies or brokers are the same. Take the time to request an interview with multiple brokerages to discover which one is right for YOU. Many brokerages will jump at the opportunity to bring on a new agent, so be sure to research all aspects of their business before making a decision.
Everyone wants to know how they will get paid. A career in real estate is generally 100% commission based, meaning you only get paid once a sale closes. The commission from the sale will be split between the company and agent. Although a higher commission split for the agent would seem the most logical course, it is often outweighed by the associated costs of doing business.
Understand the Expenses
Most brokerages will have a monthly office fee. If a brokerage claims not to have a monthly fee, ask what expenses that you as the agent will be responsible for. It is important to understand all of the expenses you will incur as you start and grow your business so you can develop an appropriate budget. You will then need to compare the commission split mentioned above to what expenses you will incur to figure out which brokerage offers the right balance for you.
Training & Resources
This is especially important for new agents entering the real estate industry. Although the real estate pre-licensing course provides a good foundation of knowledge required to begin your career, the training, education, and resources that your broker provides will be invaluable. You will likely be paired with a mentor as you learn from and complete your first few transactions. The mentor will generally receive a small portion of your first few commission checks (on average, about 25%), and is there to coach you to help you be successful.
TIP: Ask to see a calendar of training or education events for the current month to see if there is an ample amount of classes being offered.
In today’s society, most people begin their home search online, and the presence of technology during their home buying or selling process is inevitable. You want to make sure the brokerage you work with provides a comprehensive technology plan or strategy to stay at the forefront of the real estate industry.
TIP: Ask each brokerage how technology is helping drive their business. Also ask if there is an additional fee for the technology resources that are available.
Company Values & Culture
Who do you want to be in business with? What values and beliefs are most important to you? As you research different brokerages, you may find that some are focused more on final sales numbers, while others value more the importance of sticking to their moral beliefs and principles while aiding customers through the real estate experience. Be sure the office atmosphere is an engaging, inspiring, and friendly place for agents (and their customers) to be in!
Do your due diligence in researching and selecting a sponsoring broker. Next to deciding to get into the real estate business, this will be one of the most important decisions you make.