Anyone who enjoys selling real estate also enjoy having a brokerage. With several agents split their commissions with you, your own four brokerage makes it easier to ride fluctuations in the market, an attractive benefits brokerage ownership. Of course, a broker can be found on supervisory duties that you do not have an agent, and you have to bear the expense for an office. But if you enjoy mentoring and have cash-flow management skills, the rewards can be great, mentally and financially.
Step 1:Save up enough money to cover your startup costs, which will also rent or buy space, office equipment, logo design, an office sign, signs yard, website design, insurance.You also need to set aside sufficient funds to cover operating expenses for at least three to four months, advises Tom Pleimling, broker-owner Tom Pleimling Realty in Alexandria, Virginia. Operating expenses include rent, advertising, fees, online fees, utilities and other miscellaneous items.
Step 2: Find out what broker licensing requirements in your country, and get your real estate broker license. In most states have a state-approved course, be 21 years old and have practiced real
estate as a salesman for two years.
Step 3: Choose a location for your office. Consider zoning restrictions, visibility and parking for your agents and customers, as well as square footage.
Step 4: Set up a professional looking site, and employ a service that allows you all the entries in the Multiple Listing Service as well as its own display. About 80 percent of buyers start their home search online now home to a Forbes.com article titled "How to Make a Real Estate Brokerage Run: technology," which quotes a real trends and Harris Interactive survey.
Step 5: Buying Errors and Omissions insurance. As a broker, you are legally liable for agents on the actions of your agents. Errors and omissions insurance are you in the event that an unhappy customer sued the agency to cover.
Step 6: Develop an independent contractor, the agreement outlines your expectations of agent behavior and provides for the Commission agrees with the individual agents. As an independent contractor, you may request not office hours by agents, but you can expect that they hold to a code of ethics, and you can also add your directives describe the use of office space and as a means to unwanted incoming calls to take.
Step 7: Outfit your office. Essentials are waiting area and conference room furniture, a desk and chair, fax, copier, telephone system and at least one computer in the office. As independent contractors, agents can create their own personal computers. If you provide desks for agents, you may decide to charge a desk fee to offset operating costs.
Step 8: Recruit agents. Established agents have a following, you will benefit. New agents could bring a lot of energy and excitement to your brokerage, but you have to train them carefully to ensure that they do not make legal errors. You may also need sales training.
Step 9: Develop clientele. Each agent take you probably get some customers. But beyond advertising for your placement in newspapers, real estate publications and on television and radio. Realtor.org also recommends the implementation of an office open house, direct mail and increase your profile by advertising. Advertising could include sponsorship of a charitable function, or a Little League baseball team, for example. In addition, hiring a SEO company to look at your site's visibility in search engines to increase.