BrokerageIndustry News

A smarter start for real estate rookies

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Have you completed your 2012 business plan yet? Have you guessed at goals, exaggerated your income expectations and underestimated your expenses? I hope so. After all, you don't want to start the new year on the wrong foot. All joking aside, let's talk about agent turnover and why it is disgraceful. Disclaimer: What you are about to read is controversial, but needs to be discussed. The core problem: broker-owners and general agents are both operating their own business. The broker-owner typically understands cash flow better than the general real estate agent. The broker-owner understands the business cannot operate without cash and the ability to manage it, while the general agent understands the need to close a sale, and sooner than later. Realtor associations may recognize that business owners, not just newly licensed independent contractors, are joining the association. New licensees need business advice. They need to understand a business plan based on cash flow. ...