We all know the real estate industry changes rapidly. Technology has made it easier for agents to find buyers and sellers, which means there are more choices than ever for realtors to operate and run a successful business. This also means that if an agent is not happy with their current brokerage, there are plenty of alternate options worth exploring.
Thoughts of changing agencies can seem scary, but the benefits of doing so can include increased commission rate, better market exposure, access to emerging technologies, improved brokerage support and service and greater work-life balance.
When is the right time for an agent to seriously consider switching to a new brokerage? In today’s article, we’re sharing six compelling reasons for experienced, success-driven agents to shift to a more suitable brokerage.
Not Making Enough Money
In Canada, the average take-home salary of a real estate agent is under $47000/year. For some agents, that’s enough to live on and works well for them. For others, that number is not even close to what they want to achieve.
If a real estate agent takes home a salary that’s less than what they feel they’re worth, it’s a strong sign it’s time to shift gears and, possibly, agencies.
How Can Jumping Brokerages Increase Earnings?
No two brokerages are the same. How an agency sets up its business model can largely define its realtors’ financial success. For instance, agents working with a brokerage with poor commission splits, no annual cap on fees, and high desk fees will naturally earn less cash than the agent who collaborates with an organization that’s more competitive and supportive of their team.
Many brokerage models and company values do not align with the agents who work for them. This can lead to frustration, confusion and a negative work environment.
For instance, feeling underappreciated, unrecognized, and routinely passed over for new opportunities may be a result of an agent’s values not being aligned with their brokerage’s values. If an agent feels their brokerage is not in a condition to support their personal and professional values, it’s time to seek out new, mutually beneficial opportunities.
Signs of Misaligned Values Between Agent and Brokerage
- poor transparency from upper management
- Unclear expectations and policies
- Increased feelings of frustration
- Friction between agent and brokerage
- Resistance towards brokerage by active agents
- Inadequate/unclear recognition policies
- Resistance by a brokerage to evolve
Lack of Training Opportunities
On-going, professional development efforts are vital for an agent to be successful, relevant, and up-to-date within real estate industry trends. Realtors that lack training opportunities may find they experience multiple missed business opportunities and lower earnings. Additionally, if an agent is not given proper training or support, they will likely become frustrated with their job.
Many traditional brokerages offer realtors training seminars, conventions and online training courses. However, often those courses are at the expense of their agents. This practice can seriously limit the growth and development of their team and prevent less experienced agents from honing their craft.
If a brokerage doesn’t support or actively encourage a realtor’s professional development ambitions, it’s likely because the two are no longer a quality match for each other; it’s time for the agent to seek a new brokerage.
Lack of Support and Mentorship
All real estate professionals should feel supported and have easy access to mentoring. Professional support is essential to an agent, regardless of their number of years of experience or their annual sales volume. The real estate industry moves quickly, is competitive, and works best for agents who are part of a supportive network willing to grow and adapt.
Brokerages with In-House Mentoring
- eXp Realty
- Royal LePage
Not all in-house coaching and mentoring programs offered by brokerages are the same. When researching a brokerage company’s training offerings, be sure to find out what costs are associated with their program, its eligibility requirements, and ease of accessibility.
Minimal Opportunity for Growth
Realtors are responsible for their success. No matter how much support and guidance a brokerage offers their agents, in the end, it’s the agent that does the leg work to carve their trajectory. However, top brokerages that don’t provide growth opportunities can make an agent’s path to success more challenging than it needs to be.
When sourcing a brokerage firm that encourages and promotes real estate agents to grow professionally, look for the following attributes:
- Opportunities for passive income
- Lead generation options
- Revenue sharing benefits
- Extensive digital tools and online resources
Explore Real Estate Brokerage with High Growth Living Opportunities
The real estate industry is changing. There are more demands for agents to be accessible, knowledgeable and willing to do what it takes to get the job done. This means that many brokerages aren’t equipped with the tools or technology required to meet the industries emerging needs. If you want your brokerage-switching decision process made easier, we can help. Contact us today to learn more about taking the next step towards success.