Selecting real estate brokerage firms
Real estate business today is good business since the world has come out of the recessionary trends of the past and prices are not as volatile as before. Therefore, if you are opting for a career in real estate and want to pick up the ropes quickly, the time to start is now.
Your long term career goals may be to get a licence and open your own firm but before that you have to follow a few steps. Different States have various laws for real estate business but the one common factor is that you must have a couple of years of experience working in a brokerage firm before you can start off on your own.
It has to be kept in mind that selecting a real estate brokerage firm has to be done after a lot of due diligence. The reason is that this learning experience will be your foundation to reach great heights later in life and you cannot afford to compromise on this issue by joining a sub-par brokerage firm.
Here are a few points to consider when choosing a real estate brokerage firm.
- Size of the firm – Some brokerage firms are small while others are large with a number of agents working under a broker. The choice of firm depends on where you are in your career. If you have a few years of experience in this profession and you do not need constant support and supervision, joining a large firm is preferable. This because the trust and recognition the firm has in the community will rub off on you and lead to automatic trust between you and your clients. However, these brokerage firms have more agents and hence there will be a higher degree of competition for business.
Small brokerage firms also have a good reputation but then you will have to work that much harder to sell your skills and build a client base.
- Location of the firm – First decide the city you plan to sell in and then select a brokerage firm in a neighbourhood that you know well. This will be suitable for you and your clients as you will be scheduling appointments in your office and you wouldn’t want to commute long distances every time you do so. The same applies for the distance between your home and office. Keep it to as minimum as possible.
- Professionalism of the firm – When you are interviewed by different law firms, keep an open eye to assess the level of professionalism prevailing there. Observe the conditions and whether you will feel comfortable bringing your client there. If the ambience is shabby and could do with some work from commercial plasterers to spruce things up, chances are that the work ethos will be similarly poor. It is important to find an office that matches your culture and work outlook.
- Training for rookies – Before finalising a brokerage firm look into the training offered. You might have completed a real estate course and have a practising licence but in the long run, it is the hands-on training initially at the brokerage firm that will give you the required confidence to sell and insights into the industry. If you are a rookie in this business, choose a firm that has coaching and mentoring programs for freshers.
Another aspect that you should look into is the commission payable. Typically, 6% commission is earned per sale which is split 3% with the brokerage firm. You will have to talk to your broker and know if there is any flexibility in the rates. Finally, do not forget to ask how long it takes to get paid after a sale is finalised.
Keep these points in mind when you choose a brokerage firm.