Hi everyone. Thanks in advance for your time...I figured this would be the best place to gain some good general insight.
I'll be completing my real estate educating and becoming licensed in a couple of months. A few questions:
1. How long from the time you started at a brokerage firm to when you got your first sale?
2. Do you believe that seasonality has an extreme, moderate, or mild impact on your ability to get sales as a BEGINNING realtor?
3. I live in Utah, and although there a ton of brokerage firms, I really keep hearing about only a couple of really good ones. Do any of you recommend anyone in particular?
4. What do you believe is a reasonable $plit between yourself and the brokerage?
Its sounds like you are expecting leads to come in from the brokerage... and that's probably not going to happen, at least right away. I suggest starting now, and putting together a database of your contacts (sphere of influence) and start contacting them by phone, email, direct mail... Tell them your new career and see if they know anyone that needs help.
The brokerage will pass their leads to the agents that have proven themselves to close. They will not give leads to someone that does not have any track record. You have to go out there and work like you are your own business. Also, brokerages aren't lead generators.. they are there for legal support, and desk rentals.
Your split will be 50/50 most likely. Depending on how many homes you sell in a year, you will get more of the split.
Seasonality does matter a little. Home sales go down in the winter, BUT use that to your advantage... Target a market that can take advantage of it, maybe first time buyers? then in the spring target homeowners when it's the best time to sell.
Good luck, it's a hard but good career.
Thanks for the input. I must have conveyed that I expect leads from the brokerage...I don't. They were all just general questions.
Look forward to hearing from more of you!
1. 4 months
2. Moderate impact, I would use it to your advantage. Other established agents may take more time off during the winter season so hypothetically you would have less competition. Shoot for first time home buyers.
3. I'm not familiar with Utah but I would interview with a few different ones and see which seems like the best fit. Are you looking at smaller brokerages or the bigger brokerages like Coldwell, Keller, Century 21, etc?
4. Most splits for new agents are around 70/30 around me. Some may offer training/mentorship for your first 3-6 deals so your split would be less (say 50/50) initially until you complete those deals.
Jordan glad to hear you got your license, it's a hard but rewarding industry. My wife and I both got our licenses over a year ago.
1. Immediately, but it was a family member. First deal not with family was about 6 months.
2. A lot of agents take the winter season off due to the market slowing WAY down, but there are still sales, so there are still opportunities to find clients. If nothing else, when the market is down it can be a great time to get your name out there and plant some seeds for the spring season when the market booms again.
3. My wife and I are with Equity Real Estate. We met with a lot of the "bigger" brokers but the vibe we got from them was that we would be doing a lot of cold calling using their scripts until we got our name out there. That did not seem like anything we wanted to do at all. With Equity, we feel like we still get the training to help us, but we are able to work at our own pace and market the way we want to.
4. This was another factor in us deciding to work with Equity, they don't do a tradition % split. Instead they charge a flat fee for each transaction, regardless of the amount of the commission that you will make. For some people they like this setup more, while others prefer the split knowing that the split usually caps out after a certain amount.
Hope this helps.