Being in a team is all about pooling resources and skill sets for a common goal. You see this collaborative effort in sports, but what about real estate? Is there any benefit to joining forces as an agent when you then have to share your commissions?
Creating a team for selling real estate is a smart approach to buying and selling homes because you can combine efforts in managing listings, generating leads and marketing efforts by supporting each other and pooling resources. This allows clients to contact team members any time of the day for better response and service. You also work on short-term and long-term goals to produce revenue, support the business model, and build the brand.
This sounds great, but how do you go about recruiting real estate agents effectively? Here is how to build a real estate team.
The First Team Member Is You
While a team is only as good as its weakest member, it needs a strong leader to succeed. You are building this team, so you need to be able to lead and have the credentials to do so. You are in a leadership role, so inspiring and motivating should be in your skill set.
Most agents can handle 40-50 transactions annually, so you need at least this volume before justifying bringing on more people. You will be splitting commissions with everyone you add to the team, so there has to be enough money coming in so everyone profits.
Set Goals and Add Team Members That Align With Them
You need a clear path to follow, so start by deciding how many transactions you want to do each year. This will dictate how many team members are required to achieve it. Although you will still be working with clients, your role must also include being the chief lead generator and knowing how many leads you want to bring in will help decide how many people you need to handle.
What Real Estate Team Members You Need
Building a team is about filling essential roles for each member to focus on their tasks. Here are some positions you need:
When buying and selling real estate, there is lots of paperwork. Independent agents do their paperwork along with their other duties but in a team, having a dedicated person to do the transaction paperwork frees another member up for lead generation, working with clients and business growth.
The person in this role is there to handle the administrative task, so other members can concentrate on their roles. This includes:
- Calendar coordination
- Delivering marketing material
- Client communication
- Office duties
This entry-level position requires a well-organized person and a problem-solver.
You need a real estate professional that works exclusively with generating leads. This means cold calling, networking and getting out and hitting the streets to find leads any way they can. They will put these in a database for other agents to follow up on.
While a real estate agent can do both sides of a transaction, buying and selling, having a dedicated agent who focuses on the buyer’s end is ideal. This agent will work exclusively with buyers, so they need to be energetic, motivated and organized. As part of the team, their time will be spent following up on leads and turning them into clients. This prospecting takes a lot of time and effort, and you need the gift of the gab and thick skin.
A buyer’s agent will be responsible for showing homes to clients and putting in offers for them. They should be able to handle four monthly transactions, and when you get above that number, it’s time to bring in another buyer’s agent.
The agents focus on selling homes for clients and will be responsible for the following:
- Open houses
- Negotiate offers
The listing agents are in close contact with the clients and help them navigate the sale of their homes.
You may have team members who do both roles, which is also fine.
A licensed agent with a strong background in marketing and promotion will help build your brand and is in charge of all public marking material and different forms of media. They will monitor and engage on social media and work on the team website.
Building a real estate team should be an organic process where you fill spots as required, based on your growth, and work towards your goals.
Leading your team will be hard work, so follow this guide to build the success of every team member and watch your brand grow.