Because recruiting and retention are the lifeblood of the real estate brokerage industry, at TRIBUS we’re often asked what we think are the biggest reasons people choose to join or leave their real estate brokerage.
Some of the most common reasons include technology, training and support, reputation, commission structure, marketing support, collaborative culture, flexibility, reach, niche focus, and additional benefits. The items below are placed in the order of importance we typically hear from agents as their rankings:
- Training and support is consistently ranked as the most important factor that agents consider when choosing a brokerage. Some brokerages offer extensive technical support, training programs for their agents, online courses, and one-on-one real estate coaching. This can be especially beneficial for new agents who are just starting out in the industry and need guidance on how to build their business, but even veterans can achieve more with better training and coaching.
- Technology is generally the second most important factor of why they join their company. Today, investing in brokerage technology is absolutely mandatory – real estate brokerage CRM systems and e-mail marketing tools, which can make it easier for agents to manage their business and connect with clients. For example, a brokerage that offers a comprehensive CRM system can help agents keep track of leads, schedule appointments, and manage their listings in one place.
- The reputation of a brokerage is also an important consideration for many agents. Agents may choose to work for a brokerage that has a strong reputation in the community, as this can help them build credibility with clients. A brokerage that is known for its professionalism and integrity is more likely to attract high-quality clients and can make it easier for agents to close deals. Some agents are really tied to working for a franchise while others want to only work with independent companies.
- Marketing support is another factor that can be attractive to agents. Some brokerages offer a staff of marketing specialists to their agents, including assistance with creating marketing materials or promoting listings. This can be especially beneficial for agents who are just starting out and may not have the resources or expertise to create their own marketing campaigns.
- Often times, brokerages think that commission and fees are the number one reason agents join or leave a brokerage, but it’s actually number five on the list. (Therefore investing in tech, training, and support are more important than worrying about increasing your commission splits.). Some brokerages offer more favorable commission splits or bonuses for agents who bring in a certain amount of business. For example, an agent might receive a higher commission split if they sell a certain number of properties within a year timeframe.
- The culture of the real estate brokerage is another important consideration for many agents. Some agents may prefer to work for a brokerage that has a collaborative culture, where agents can work together and share ideas and resources. This can be especially appealing for agents who value teamwork and want to be part of a supportive community.
- Flexibility can be a major reason that some agents join a brokerage. There are plenty of agents out there that don’t wish to attend regular weekly meetings and while this isn’t necessarily required at a brokerage, it can be obvious if an individual agent doesn’t attend. Some Realtors are perfectly fine being at a brokerage that is completely virtual with little to no interactions with other agents at the company.
- International reach is another factor that can be attractive to agents. Some brokerages have a strong international presence, which can be appealing to agents who want to work with international clients and are in areas where it’s not only possible but likely that buyers or sellers for homes in their area can be from foreign nationals. For example, an agent who is fluent in a foreign language might choose to work for a brokerage that has a strong presence in a particular country.
- Niche focus is another reason that agents might choose to work for a particular brokerage. Some real estate companies specialize in a particular type of real estate, such as luxury properties (think Sotheby’s International Realty or Corcoran) or investment properties. This can be attractive to agents who have a specific area of expertise and want to focus on a particular market.
- Finally, benefits are another factor that agents might consider when choosing a brokerage. Some brokerages offer additional benefits to their agents, such as health insurance or retirement plans. This can be appealing to agents who might not be able to get insurance from a spouse.
Overall, there are many factors that agents consider when choosing a real estate brokerage to work for. And as you can see, agents have lots of different reasons for choosing their brokerage. Focus on a few of the above items as your key agents and don’t stray from the persona of a successful Realtor at your brokerage. You don’t need to be everything to everyone and you certainly shouldn’t recruit any agent that can fog a mirror.
