Office space and the 'floor time' continuum
Realtor Notebook
By Teresa Boardman, Wednesday, September 24, 2008.
In some real estate offices they have "floor time": Agents sit in the office and answer phone calls from consumers who want information about for-sale homes. I think floor time is a good idea, but it may need a few tweaks.
In the Twin Cities area the bigger brokerages have closed some of their offices and combined offices to cut costs. Most agents choose offices that are close to home, but with fewer offices to choose from some will have to go further.
I don't have time to drive to my office, as there is no fast and easy way to get there. I need to spend my time working and there doesn't seem to be much of a point to drive somewhere when I have everything I need in my well-appointed home office. Being a Realtor is not about having a desk.
Yet some floor time would be nice. I used to get three transactions a year by being available for floor time twice a month. These days one-third of the time I would expend for floor time would be spent in my car.
Seems like an easy problem to solve: forward the phone to an agent in his or her home office. The real estate companies are resistant to that idea. Instead, they do everything to encourage us to come to the office and work at the office. The value of the office is often mentioned when recruiting new agents and there are events that are intended to make it a "fun place." It makes no difference to consumers where agents are located. It seems silly to have them come to the office to take calls when the calls can be handled from most anywhere.
It is worse with the inquiries that come in through the Internet. Consumers visit real estate company Web sites all night long, but there often isn't anyone who is there to respond to them much after 5 p.m.
The inquiries that come in during the evening wait until the next morning. They are then forwarded to an agent. By the time an agent responds the consumer has moved on and found another agent. It is likely that they landed on a Web site like my agent site, contacted an agent and got some type of a response.
From this agent's point of view the company office is an encumbrance when it comes between direct communications with consumers. After all, real estate companies don't sell real estate -- the agents take care of that.
When my husband was a Realtor a few decades ago things were very different. They didn't even have pagers. My husband had quarters with him and called the front desk to check for messages. They didn't have voice mail either and the messages were on little pieces of paper.
In those days a real estate office was essential. It was the hub of communication. All of the agents made it into the office most days. They could thumb through the multiple listing service book to view the latest listings.
The last couple of offices I have worked in have been mostly empty, with maybe 20 percent of the agents in the office at any given time. Having empty offices costs money, and those costs get passed onto agents and consumers.
Maybe real estate offices are needed for teams and for new agents, but they should be smaller and business practices should be changed so that consumers can be served by available agents even if those agents are not sitting in the office. When times change, business practices need to keep up so they don't become an encumbrance.
Teresa Boardman is a broker in St. Paul, Minn., and founder of the St. Paul Real Estate blog.
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Submitted by Phillip Jones on September 25, 2008 - 4:10am.
Teresa,
This is a great article. It touches so many important elements of the "old-fashion" ways of our business. Our office does not have floor time, instead we use an automated phone system (just like other companies) and if a buyer/seller calls in the call gets blasted to as many as 6 agents at the same time on their cell phone. Whoever answers first wins.
Additionally, we do not spend thousands of dollars per month to have a glamorous office. We have a very functional and respectable facility that costs under $1000/mo. This helps keep the organization profitable and in business. We agree with your comments that the consumers don't care where the agents are sitting, only that they are available - we give them 6 agents to answer their questions 12 hours a day. All the agents work from home and the office is available 24/7 via controlled electronic access. Sales meetings are optional and held quarterly, agents actually want to come because they are ready to mingle/learn every 90 days.
I'm not saying that Your Choice Real Estate has this all figured out, but I do think that other "traditional" companies had better change to remain profitable. Without profits, what are you?
Thanks again for the article. I enjoyed it.
Regards,
Phillip Jones, REALTOR
Your Choice Real Estate, Inc.
151-18 College Drive
Orange Park, FL 32065
Phone: (904) 298-2679 Ext 501
Toll Free (888) 490-0671 Ext 501
Fax: (866) 923-9990
Email: pjones@ycre.net
Website: www.ycre.net - Take a moment to look at our new website! Now with online MLS entry & payment options!
Submitted by Catherine Read on September 25, 2008 - 4:32am.
This is a discussion that has taken place over the last couple of years, certainly at larger brokerages with many offices. In looking toward the future needs of agents and the expectations of clients, it seems clear that smaller and more flexible spaces would be the logical next progression. Agents are more mobile and will continue to be. Office space needs to offer a place to meet clients, have sales meetings/training and provide office equipment like a copier. (And there are still store front sales offices in locations that bring in foot traffic too.)
But for many large and established companies, there is the consideration of balancing the needs of more traditional agents against those who are doing business in new ways. So this transition will not be a quick one, but it is a necessary one for all the reasons you so clearly articulated here Teresa.
Catherine S. Read
Creative Read, Inc.
Submitted by Jeff Bergstrom on September 25, 2008 - 4:52am.
The traditional office has been dead for the last few years. There is NO need for it other than to help Brokers justify their monthly fees. It is one of their "features". The American landscape is littered with realty offices. What a waste of space. As far as "balancing" the needs of traditional agents and others--move on or get out of the way!
Submitted by Al Clark on September 25, 2008 - 4:58am.
Teresa, Spot on view of the new trends in downsizing. I know of one brokerage that has 200 agents and 15 offices.. and I might say "nice" offices- but I wonder the as to the ROI of all that rent. We have been getting suggestions from our clients to build technologies to handle the "after 5" scenario. I would suggest brokers reading this, to ask their IT folks to analyze web traffic after 6 PM ( you will be shocked) and assess the need for limited but live 24 hour service. Homes are getting looked at after 1 am, Lead gen forms are getting filled out at 2am but no one is around to help. The first one to respond ...78% of the time gets the business. We have tools we are working on to take care of that and serious thought needs to be made on addressing the needs of those who do not fit the 9-5 mold when searching for homes. We hope to help the progressive brokerages who want to fill this niche with 24/7 urgency tools.
Albert Clark, Principal Partner
realPING Click To Talk NOW
realPING.com
Submitted by Chris Adams on September 25, 2008 - 5:07am.
Teresa,
In the past two weeks:
-I called a brokerage in the middle of the afternoon and ended up in a voicemail loop that put me back to a non-existent receptionist-for voicemail.
-Called a brokerage, asked for an agent and was put into their voicemail.
-Called an agent at their listed number, and got a message from that agent not to leave a voicemail there but to call another number to contact them and leave a voicemail.
Three very different scenarios with the same outcome.
Working in the 2.0 world still requires a human touch, no matter where you are working.
Steven Stearns
www.obeo.com
http://obeoman.blogspot.com
262-325-8687
Submitted by Teresa Boardman on September 25, 2008 - 7:33am.
Steve - it is about the human touch, nothing will ever replace it. We just need to find a way to make it happen more often and easier. I hear the same thing from buyers every where. I even had one who begged me to help her and asked me why she couldn't get agents to return her phone calls. All I could say was that she was calling the wrong agents. I showed her one home, and she bought it. She was a good client and I enjoyed working with her.
Submitted by Dan Homan on September 25, 2008 - 7:58am.
If you don't like the broker's rules, you have three choices: Find another broker, Take the test and open your own brokerage or deal with it. Regardless, grow up and quit complaining.
Submitted by Daniel Rothamel, the Real Estate Zebra on September 25, 2008 - 8:06am.
Dan,
I'm curious. Why isn't one of those options for the agent to work with their broker to the benefit of both parties? Why must agents become nomads, jumping from broker to broker?
http://www.RealEstateZebra.com
Submitted by Daniel Rothamel, the Real Estate Zebra on September 25, 2008 - 8:16am.
Al,
while I certainly understand that people are searching real estate sites and filling out contact forms at all hours of the and night, is it really reasonable to expect an answer for a real estate question at 2am? I mean, really?
As a practicing agent who has actually made the mistake of responding to emails at 2am, I can attest to the fact that there is nothing that can't wait until a more reasonable hour. Real estate isn't an emergency. Personally, I don't expect a response from any professional at 2am, even if that is when I make an inquiry. It's just unreasonable.
I think that, at some point, there is going to have to be a balance struck between the perceived "needs" of consumers, and the need for agents to have a quality of life. Sure, I can answer an inquiry at 2am; but I can't show a home during that time. That typically has to be done during business hours (at least for occupied properties). So, when if I'm working during non-business hours, and I'm working during business hours, when am I not working?
http://www.RealEstateZebra.com
Submitted by Linda Lombardini on September 25, 2008 - 9:13am.
I co-own a medium sized Real Estate office in Ann Arbor, MI, with 8-9 agents. We have floor time & try very hard to be aware of the different abilities of our agents to get to the office. We are lucky in the fact that Ann Arbor is a 'small' town of only about 105,000 residents & that none of us have to drive very long to get to the office. Some of us can even walk or ride a bike to get there!
My question related to this conversation is - do you not have any walk-ins that you should be concerned with? We often do - and that makes floor even more important...and exciting!
Submitted by Al Clark on September 25, 2008 - 10:28am.
Dan, I did not mean to imply agents had to answer calls at 3am (no political pun intended) but a live body that works for/with that brokerage can... The technology is there (distributed Voip Acd)and brokers are looking at being the most accessible agency and promoting that fact. This person may even be regional and have access to all inventory, showing schedules etc - I know in some states, they must be licensed. This person would build the relationship that gets built on Urgency and passed on in the morning. I will keep you informed!
Albert Clark, Principal Partner
realPING Click To Talk NOW
realPING.com
Submitted by Louise Jordan on September 25, 2008 - 12:39pm.
I own a small real estate firm in Elizabeth City, NC. We have had an internet presence since before pictures were online. For over a year now I have allowed my agents the option of working from home or in the office. Callers get a real live receptionist who takes their information and has an agent call them back immediately. Our internet requests go to a central location online where all the agents can receive the emails when they are on duty. The whole system works quite well whether an agent wants to stay at home and work or go in to the office.
Louise Jordan
Broker/Owner
Jordan Realty Corp.
JordanRealty.com
Submitted by Missy Caulk on September 26, 2008 - 2:30am.
Teresa, at our office we can send the call to the person's home office. Although most would rather come in, who knows why? I haven't done floor time in about 9 years but my buyer agents do because they are "hopeful?" So far nothing from it this year, so not the highest and best use of my time.
Missy Caulk
Ann Arbor, MI
Missy@MissyCaulk.com
www.AnnArborRealEstateTalk.com
www.SearchAnnArborHouses.com
Submitted by Kristal Kraft on September 26, 2008 - 2:15pm.
I haven't done floor time in so long I can't remember how to spell it.
Seriously, when I did sign up for floor time, it was time that could have been spent better by doing something else. Sitting around waiting for a phone to ring has never been a way to build a business.
Kristal Kraft
Selling Denver Real Estate
Submitted by Sylvia Barry, Marin Realtor on October 2, 2008 - 3:18pm.
I could have worked from home but I like to go to my office every day - more professional and I get first hand info from my colleagues. While I am there, I figure I might as well sign up for floor. On the other hand, if I am on floor, there is no excuse for me not to work even if I don't feel like working. I have so much to do, it's never a waste of time for me.
More importantly, nothing can beat face-to-face interchange with a client who walks into an office and needs to talk to somebody right away. That's when I can look at prospects in their eyes to size them and learn about their needs and wants. You just don't get that when you are on the phone.
Being in the best company in Marin also helps - customers do walk in and do call when they need help.
Sylvia Barry, ePRO
Marin Real Estate Consultant
www.SylviaSellsMarin.com
www.AllAboutMarinHomes.com
Submitted by David Auston on October 6, 2008 - 11:51am.
Great article. Not as many people walking into real estate offices these days as the internet is so easy to access. Although I did meet a client that I helped purchase a 2.4 millon home, but that was only coincidental and I had the experience to help the lead efficiently. Forwarding to a cell phone would be great as long as your office has enough people in case someone does walk in?
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Mediterra Naples
Tuscany Reserve Naples
Submitted by Richard Soto on October 7, 2008 - 4:40pm.
Our agents work from home, in my opinion office space is the biggest waste of money. We do have an office for those Rare occasions a client wants to meet an agent there.
Dallas Real Estate
Houston Real Estate
San Antonio real estate