Help choosing brokerage and misc. questions

9 Replies

Peace. My name is Mike and I passed the NY RE Salesperson exam about 9 days ago. WOO-HOOO!! I screamed in excitement as I have always wanted to be in real estate since a teenager. Now I am visiting different brokerages and trying to find the best fit for me. I don't care if the brokerage in small or large but I just want to have some type of training or guidance when I first start although I have learned so much through this website. I have two brokerages I want to visit tomorrow.

But I wanted your opinion on the two in which i will not disclose due to bias.

Option 1- Large business, Will pay for business cards/name badges, have a mentor-ship through the first 3 deals (giving the mentor 25% commission), no desk fee and 55% comm split w/6% franchise fee, roughly $900 to start (MLS and E&O Ins) .. BROKER WILL CHECK OUT BP!

Option 2 - Small business almost mom and pop (not sure how much business they get), Will pay for business cards, no mentor-ship but seems very helpful through all deals, 50% comm split w/o franchise fee, roughly $900 to start too .. Broker kinda snobbish.

Misc questions

1. I grew up and live in White Plains, should I work there and consider location over everything?

2. Is it better to work with a huge business or small business?

3. When you first started what was your first transaction like?

Hey Mike

Congrats on passing! First off those commission splits are crazy half of your money? Maybe that's the standard in that area. I would stay in that area if your familiar with that area and you would be able to work your sphere of influence better. For the second question that depends on various things but you need to like and trust your broker especially if you are giving them so much money. You need good quality training for the first year otherwise you might not last. I'm not familiar with your area and its population. But I have worked for a big named organization got good training but couldn't stand the broker and left to go to a smaller agency that provided better training and better splits and worked better for me. Remember you are making them money, you may hang your license there but in the end of the day you are your own business. You are your own brand. First transaction was hectic because it was my first that it is why it is good to have a broker that is willing to take time to help you learn the business. Remember no two transactions are the same best of luck!

Don't worry about the commission splits.  As a new agent you just want to learn EVERYTHING you can about the business.  Once you learn the business you'll be able to go to any brokerage and flourish.

So, if the larger brokerage is willing to pay for a lot of your stuff and you get training then go with them.  Then, when you decide to spread your wings and fly you can switch brokerages to get more money.

Or, as I usually recommend, start out working as a licensed assistant to a top agent.  That way you learn the business and get paid while doing it!

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@Michael Lane

Hi Michael

I grew up in White Plains.  It all depends on your goals.  Do you want training and to learn the business?  If you do, it will cost you but the return is immense.  I have a friend who owns a Keller Williams brokerage and loves the training they provide.

If you're in for the long haul, then invest in yourself and learn how to separate yourself from the competition.

Gino

Thank you for your responses. @David Hunter what was your first transaction like? Did your broker supply you with leads? 

@Gino Barbaro  I have been calling Keller Williams all morning with no response. I want training because I have very low monthly expenses which are covered by another job.

@Michael Lane You will have to call Jennifer Mallory, she is the team leader in the Keller Williams Hudson Valley Realty. if you need her cell phone number contact me privately.

The commission split is 30/70 with a cap rate of $32,000 a year, after that it is 100% yours for the rest of the year. and the training is free.

When I first got into real estate I got 3 listings through family/friends.  Yeah, the broker 'said' they would provide leads, but it was junk. 

Anywho, after 6 months of nothing selling I was out of business (who knew the houses for you to get paid?! ha).  I then worked for a top producing agent, and that's where I learned everything.

So, I'd say go after your own leads.  Don't wait for your broker to supply them.  This is YOUR business, so you have to treat it like one.

that's interesting and I am already trying to find some more leads as I have a couple of friends looking for apts and one for  a duplex.

thanks for sharing @David Hunter .. I chose Keller Williams yesterday and already found an agent to "shadow" as he introduced himself while i filling out the paperwork. 

@Gino Barbaro Thank you also for reaching out. I hope it will help aide my investor side also.