I’ve written about this before. You can search the blog for more articles but I had one critical thought I wanted to share.
I see lots of new agents ask how to pick a broker and the answers tend to run along ‘splits’ and ‘training’. I see these are important since the address ‘money’ and ‘time’, both valuable, limited resources but I want to share another perspective.
Training in how to be a real estate agent is important and there are lots of ways to do that. In person training, online training, hire a coach, find a mentor and lean on your broker or team leader for direction and advice.
They will all teach you the job of being a real estate agent.
There is a more critical aspect you need to consider, however.
Do they teach you how to run a real estate business?
Do you learn how to create a Profit and Loss Statement? This is critical to running a business. Where does your money come from and where does it go? It’s not enough to know your balance in the checking account is positive.
Speaking of accounts, how many accounts do you need in your business? Would you be surprised to know it’s 7? Why do you need 7 accounts when you don’t have any money yet? You need an income account, a business expenses account, a tax liability account, a business savings account, a personal expenses account, a personal savings account, and an investment account so you don’t have to be an agent for the rest of your life. When you start earning money it’s important to put the funds in the right accounts at the right time for the right reasons.
Another question I see new agents asking is about buyers vs sellers. Which is better to work with?
For lots of reasons, the answer is always sellers.
At KW we talk about Leads, Listings, and Leverage. Lead generation (not cold calling if you don’t want to do that) is important for continued business. Listings give you more control over your schedule, the opportunity to market to the public, and the buyers will find you. Leverage is about hiring. Hiring an assistant is first, second and maybe third, and until you have those spots filled you don’t need a buyers agent.
All of these things are business decisions that impact how you run your business. If your broker doesn’t teach those things intentionally then I’d say you need to look for a new brokerage.
The job of real estate involves showings, CMAs, various forms of lead generation, using the MLS, and lots more but you can do all those things perfectly and still fail at the business of real estate.
Running a business, like a business is what it takes to be successful in real estate. Having a broker that understands that is critical.
If you want to talk more about it, connect with me.
I’m here and I’ll talk with you.
I mean it.
If you want to schedule a call you can click on this link. It will take you to a calendar where you can request a 30-minute time block. I’ll accept and we’ll get on Google Meet to talk face to face. We can go longer than 30 minutes too but we might need to schedule another time.
It’s free and it might just help if you’re stuck. No strings, no pitch, just someone to listen and maybe get you unstuck.
I’m here if you want to reach out.
I hope you will.
Thanks for listening,
678-231-1578 Cell Phone
- Life is a Verb
- 2: Picking a Broker