There are a million things to know as a new real estate agent. Start with knowing which real estate brokers will help you, or hinder your success. Here we discuss four red flags to fire your current real estate broker and kick their ass to the curb, and what to ask your potential real estate brokerage before joining.
Four common red flags
1. You get the runaround to be paid at closing. To avoid this, ask the following:
How do I get paid? This is something crucial to find out before joining any company. Before being drawn in with the supposed bells and whistles of a brokerage, ask them: "Will I get paid at the closing table or do I need to wait? Who is my point of contact?"Make sure to ask your potential broker if they allow disbursement authorization for same-day closings. Most brokers won’t expect you to ask this question, but it’s important to know how seamless they make the closing process for their agents.
2. Office politics is a common occurence. To avoid this, ask the following:
What is the office environment like? This is more of an internal question to ask yourself when you interview in the office. Take a look around, are there a lot of agents working or is it dead? Do you have to pay extra for privacy? How friendly are the agents? This will tell you how conducive the office is to working and cold calling. Brick and mortar brokerages naturally create social cliques and office politics, as with other 9-5 jobs. But you’re not getting paid a salary. And bad vibes will effect your sales, and office morale.
3. Your broker/owner competes with you. To avoid this, ask the following:
“Do you sell homes still Miss/Mr.Broker? Most brokers won’t tell you off the bat if they sell as well, unless you ask. This is especially important because a competing broker has you at a disadvantage. They not only know more about your niche marketing strategy and farming area, but aren’t willing to help you increase sales by offering effective strategies and tips if they are a working broker.
4. The fees exceed value of what your broker offers. To avoid this, ask the following:
What is the commission split/ transaction fee/ monthly fees? This is self explanatory, but you want to know if their brokerage fees are worth it for what they offer. No company is worth paying thousands of dollars every month just to hang your license. Find these things out beforehand, alot of companies will try to lock you into on a contract. It's not worth it to give up 50% of your commission and forfit all of your leads/closings if you leave. Remeber you work for you.
For a more in depth discussion listen to our podcast here. Enjoy!