Kudos to those of you Brokers, who offer agents the ability to do Property Management as part of their business. Especially in this economy! Unfortunately, many traditional corporate real estate companies do not promote or allow their agents to prospect that area/aspect of business and why many agents quit or leave the business before giving it a chance to florish. The simply reason the majority of people who come into real estate fail is because they can't endure and live through the valley while waiting for that peak.
Property Management, is a keen business decision for generating a continuous stream of income from clients/management contracts in a timely manner because EVERYONE needs housing! So that aspect of the business is a wonderful money buffer and not leave one totaling reliant on having to wait for a real estate closing to take place before getting paid.
Waiting for a closing ONLY affects the agents! Realtor.com estimates that 95% of us don't make enough.
As agents, we work the hardest and are the large foundation of the pyramid. The corporate owners, their managers and administrative staff are not affected and thrive regardless of how long it takes to close!
The corporate top of the Pyramid all have a cushy, continuous stream of income! Market shares, salaries and reap a hufty percentage of the hard earned commissions from the PIE that AGENTS bring to the table!
So while agents are trained to GO FOR IT! They need to look at the real estate business model and honestly assess the obvious risks and protect themselves against the valleys which is typically not discussed with managers who are trained (brain wash) agents in thinking that are lucky to be on board and that the company is doing them the favor in among other things "name recognition" which is a whole other topic.
Agents should consider doing Property Management for a continuous, renewed income and...
1) Affiliate themselves with companies that do Property Management and negotiate your commission for renewal business.
2) If you prefer doing sales and rentals with your current broker or one that doesn't do or want the liability of property management then a business development attorney could advise you on starting/having a separate business and navigate how as a 1099 independent contract in doing both.
3) When your license is up for renewal spend a few dollars more and get a Broker's License.
ENTREPRENEURS?
As always Best Wishes for YOUR Success!
Kris Fox
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