When Realtors Make a Move: Interviewing Brokers
First, you decide it’s time to go. Then you have to answer the big question, “Where to?”
So you start your quest for a new office by deciding what kind of place you want.
What sort of business model are you looking for? Do you want a traditional brokerage or one of the newer models? Do you want a small, locally owned company or a huge multi-office firm? Do you want a national affiliation? How important is it that the firm offer agent training in-house?
With these questions answered, the next step will be identifying the offices that you think will meet your needs, and then interviewing the broker or branch manager.
The important thing to remember is that if you are a decent producer with a reputation for being easy to work with, you are a hot commodity for the brokerage. You can probably have your choice of offices. So you are interviewing the new broker to see how they will work for you - not the other way around.
Here are some of the areas that you need to cover:
What will this firm and office do to support you in listing and selling property? Get specifics here. - What systems do they have in place for producing marketing materials? What do their materials look like, and what will be the cost to you for production and printing? Is the production on-site, or do they out-source it. What's the time frame for getting your materials in hand?
- What systems do they have in place for on-line marketing? What does the company web site look like, and can you create a link to your own easily?
- What kind of training do they provide, both for new and experienced agents? Many companies have in-house training, including some continuing education.
- Does the phone system allow for calls to be forwarded to your cell phone or personal voice mail? You'll also want to know how calls are handled that come into the office. Are they sent to a duty agent or to the listing agent?
- What are the fees that the office or franchise collect from each agent? Are there monthly desk fees, coffee fees, parking fees or replenishing the candy dish fees? If this is a franchise operation, what do they skim off the top of each transaction to send to New Jersey or wherever?
- What kind of support staff do they have? A smoothly running office is important.
- Will they charge your clients an admin fee on top of the regular brokerage fees? This can be important, as many agents absorb this cost instead of passing it on.
- What kind of parking is available? If you work in a downtown office, this is huge! I always negotiate a parking place at or very close to the office.
- What will the split be? Under what circumstances can it change? Usually there is a direct relationship between the split and each agent’s productivity. And it’s usually very negotiable. If you are on a low split where you are now, it’s not unusual for the new broker to up the percentage that you keep, at least for the first year or so you are at the new firm. This helps to compensate for business you are likely to lose as a direct result of the move. Also, if it is a high split and, at the same time, they nickel and dime you to death, it isn't really a high split.
- Do you have to get your blog posts approved by someone in the corporate chain of command before you push the "Submit" button? If they don't trust you to blog, move onto the next company. Same for having to get clearance before talking to the press or media. Before my last move, I had each manager I interviewed look at my blog and my book. Their reactions played a huge part in the decision that I made.
You'll also want to check out the office plant. Is is attractive with the equipment you'll need to work efficiently?
What's the vibe? Is it high energy or sleepy and relaxed? What are the agents like? Will they be good colleagues or will you have to watch your back and your database?
Check your local MLS to see what kind of business the office does. Do they list and sell the kinds of properties in the markets where you want to work? Do they do mansion market in high end neighborhoods, or funky hovels in a part of town where you are afraid to drive your Lexus? Whatever the answer might be, it should be consistent with the kind of properties that you are comfortable listing and selling.
While I try not to be judgmental about people, that is something that I waive when I'm interviewing prospective brokers. One showed up 15-minutes late for a breakfast meeting. She was wearing her dog's bed. I looked down my nose and moved on. Another was appalled by something she read in my book and in my blog - after she'd enthusiastically invited me to join her company. I let her off the spot.
Hopefully, the judgements you make while you're looking around will help your next move be your last.
Next: Evaluating Brokers
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