Under the bus,

Not too sure if the process mentioned in the article is a priority avenue for a new agent to walk down. A good foundation of work process is necessary before a new agent, without proper guidance, gets involved in foreclosure flipping as suggested in the article. A few of the examples mentioned may result in not getting a mortgage committment if mortgage payments are missed and a home is close to foreclosure. New Jersey's foreclosure rate is not as high as other areas around the country. Yes there is a market segment for properly working this potential and exposure to it is all part of learning the business.
Thanks for sharing th article.

Fri Jun 13 2008, 11:35

CONGRATS! You are now the CEO, President, Treasurer, Marketing Director, and custodian of your own business.
Your first step should be to shop around for a broker that you feel will best mentor you in the first few years. Yes, I say years. It takes an investment of time and a LOT of effort to grow your business. It rarely happens overnight. License school gives you the does and dont's and law. It does nothing in guiding you as to how to get business, grow business and assist in the development of a realistic business plan. Broker and office and chemistry is very very important. I have mentored new agents in the past and have guided many towards success. Some brokers offer a more formalized training while others tend to appeal to seasoned agents and lack the training programs. Shop around and find a broker that you feel will cultivate your new found knowledge into a successful business and iwill invest their time and effort in your future.

Fri Jun 13 2008, 08:49

You are in business for yourself. Write a business plan like you would with any other business. Follow your plan systematically. I have a great business plan sample/guideline for real estate agents. I will be happy to email it to you.

Best regards and good luck!

Sun May 25 2008, 14:56

Just remember you are starting a business and who are going to invest a lot of time and money. Have a budget for marketing and stick to it. No one will know you are in real estate unless you tell them. Don't have unrealistic expectations for the first year or so, you are just getting started. Work your sphere of influence, do as many open houses as you can, take as much floor time as you can. Good luck!

Sat May 24 2008, 16:22

Continued...

I wish I had better answers for you but this topic can be a class in itself.
Advice: Do not procrastinate; team up with another experienced busy agent to learn the ropes, discipline yourself, create a business plan and follow it, your office should help you create a detailed plan, not just hand you a blank outline of one.

There is no substitute for on the job training!
Do not choose a brokerage based solely on what your commission split will be, 100% of nothing = NOTHING!!!

Brokerages can entice you with high or creative commission split schemes, chances are if it sounds too good to be true, it is!
Don't fall for: Multi-level marketing/tiered/commission schemes - brokerages offering 90 to 100% commission splits and overrides and 100% after you reach a cap levels, they all tend to be BS and you'll never get paid what you were promised, factor in that you still need to pay TAXES.
If calculating how you get paid sounds complicated, there is something wrong. Remember the brokerage has operating expenses and also needs to be profitable; the broker wants to make a living to right?

Splits over 70% are usually too good to be true and will usually have other hidden fees and expenses which will be charged somewhere such as equipment usage charges, using phones, copy & fax machines, perhaps desk space rent, transaction administration fees and so on...

If you choose a franchise, you will have to also split the cost with the brokerage to pay the franchise fee which can vary but 8% off the top of each transaction seems to be the norm. Franchises usually have more to offer in addition to the name recognition which can be well worth the fee.

Run from the term “profit center” and other catch phrases used to describe the brokerage. Promises mean nothing if they are not put into writing, read your independent contractor agreement carefully and thoroughly along with your commission split agreement. Chances are if it sounds like you need to go back to college to figure how you get paid, you might not be getting the great deal promised. There are many convoluted commission schemes out there and all the advice I can give is be careful and choose wisely.

If you ask other agents how their commissions are calculated and they can't tell you in one short sentence clearly, RUN....

• Will you be “required” to spend time recruiting other agents?
• Will you be required to be the office unpaid secretary doing floor time answering all calls coming into the front desk?
• MUST you work with a mentor with a predetermined split amount, although it is highly recommended to work with a mentor, this is not the right approach. At my office I have a split sheet worked out which specifies how much of a split you will get for each part of the transaction which you had performed on your own, if everything is done together, then and only then will it be a 50/50 split with your mentor.

Office classroom training at regularly scheduled days and times is extremely important, some brokerages charge for classes others are free but the basic training should always be free!

What benefits are offered?
Are health benefits available, at what cost?
Who pays to advertise the listings you bring in?
Our office pays for all advertising of listings, however agents pay for their own self promotion marketing!
Does the office offer a postage allowance?
Do you get any freebies? Business cards, Name Badges and so on?
What technology does the office have to share with you? Any cost involved?

I can go on forever and get very excited about this topic as you can see, I'm running out of space for this message so I'll have to cut it off here but I wish you the best of luck, feel free to call me for more advice.

Good Luck…

Fri May 23 2008, 19:52

Congratulations!

Be careful with companies offering mentorship for the first "x" amount of deals for a set fee. You'll find yourself splitting your commission with them for nothing. Granted if a seasoned agent is "willing" to show you the ropes it is worth it but all too often experienced agents keep all their knowledge and so called secrets to themselves. Unfortunately this business is not kind to newcomers because many agents are cut throat and feel you will be more competition for them which is just ridiculous.

Do not sign agreements to split your commission with a mentor unless it specifically states what the mentors duties will be and that they will not be paid if they do not perform them.

Get a copy of your employment agreement at the time you sign it, insist on it and Read it thoroughly before signing.

Newbie’s are all too often taken advantage of, I feel strongly about poor training and mentorship for these agents and it’s something which gets taken for granted too often because nobody cares, thus the huge failure rate within the first 6-12 months.

* Buy the book up and running in 30days, read it, study it, there are other good ones available as well. You can find good advice about interviewing and starting out.

* Ask other new and seasoned agents if there is office training and ask what they think of it and how it has helped them, don’t be afraid to ask questions, that is what this business is all about, if your shy look for another career!

* Commission splits should be a secondary concern at this state of your career.
You should first find out more important things at this stage like how do I get clients, what do I do with them step by step once I get one, How do I put an offer on a home? Is this covered in my training? Is my training free or will it cost me $$$, how much and what am I getting for it.

* What are my estimated total startup costs from association dues, mls dues, lockbox key costs, Errors and Omission insurance cost, estimated startup marketing material costs, and so on, I’d suggest you have at least $2,000 minimum startup cost plus enough cash in the bank to support you for at least the next 6 months if you did not make a single sale.

* Some offices push culture as if it were a cult, they may also require you to purchase a training library of books from them and give minimal if any hands on training or support.

* Don't just interview with a recruiter, speak to the broker, other agents new and experienced, observe attitudes, do they have time to talk with you or just appear too busy?

* Is the office full of agents waiting for leads like vultures waiting to pounce or are they out actually WORKING?

Fri May 23 2008, 19:52

Al:

Interview every manager and company in your area and see what feels like a great fit! You want a lot of training and a great support system. Work where you live, your first clients will be very much like yourself. If you are starting out as part-time you may want to join a team as a buyer's agent or work closely with a mentor until you have enough business to support yourself full time.

If you are in my area feel free to call me I can always use another team member!

Best of luck to you,

Camille Miller
Prudential NJ Properties
Flemington, NJ

Wed May 14 2008, 18:27

congratulations
i dont know what part of the state you live in but you can email me craig becker
vice president of keller williams piglet3@patmedia.net

Thu May 8 2008, 08:35

Your relationship with your mentor will be critical to your success. That might be the broker manager, or it might be a mentor assigned to help you who is an agent in the office.

You can have wonderful tools and training programs, but when you are in a real life transaction, you need a go to person who will be there, be interested in your best outcome, and have the knowledge and experience. I have seen newbies thrown into classrooms and enter a transaction, only to flounder because there was no one to support them.

Thu May 8 2008, 05:43

Congratulations on your very difficult achievement! I believe the first step is to decide what you want to achieve? Are you going to be a full time career agent or a part time agent. Next you need to recoginize that you are operating a business, so you may want to take look at what courses/resourses are available to assist you with starting and operating a small business. I would suggest that you analyze your local market to see what "niche" opportunities are out there to set you apart from your competition. Once you have given these items some consideration, my advice to you is to interview companies in your area to see who will fulfill your needs and what training/mentoring programs they offer new agents. You may be surprised to find that small companies can offer more hands on assistance than larger companies! I wish you much success!

Wed May 7 2008, 10:51

No offense to the last response but I think someone new to the business would be better served working for one of the bigger Century 21 , Coldwell Banker or especially Keller Williams for the outstanding training they receive.

Tue May 6 2008, 16:19

Welcome aboard to the most exiting industry in the world. You will be able to sell the most valuable commodity available to man with the highest price tags. Your hard work will determine your commissions which can be outstanding.

Exit Realty has offices nation wide. Please look into what my firm has to offer and contact me to so I may schedule a confidential interview and introduce you to a one of our brokers in your area. Click on the link and watch the film, you will enjoy it.

Tue May 6 2008, 16:07

GREAT .... BRAVO... to the real world !... real estate is fun, great, one can be successful with their practice

Now is the time to jump in for families are on the move looking purchase homes, just make sure you learn to say NO, have the client qualified for a loan prior to showing property if NOT you waste allot of time and gas. I most likely say NO more than YES, I am a Dallas real estate agent and Dallas home mortgage loan officer a person can't qualify I can't invest my time till they can obtain a loan.

Build a team of professionals where you work in concert together,

Wed Apr 30 2008, 15:24

I would suggest that you act quickly, but be patient. When you ask brokers about the opportunities, remember you are there to interview them as well as them interview you. YOUR REPUTATION is on the line when you hang your license in a brokers office. Ask about desk fee VS annual fee...transaction coordinators, look at the desk sizes, listen to what is going on in the office around you during your interview time....you can learn a lot about an office by listening to the team members talk.....you know what calm and healthy sounds like. I am incredibly lucky to work with a team that supports each step I take. "Old timers" are comfortable talking with the new comers, there are no special awards on anyones desk........we are all team members......working toward the same goal.......to meet our client needs.
In this market I have found that being comfortable with who you are.....is the best thing you can do to beat out the competition. Remember...pushy sales people get pushed to the side most times.
Ask around about local offices....find a local lender, title and escrow, and inspectors for their opinion on different companies..........they know best...most of us all say we have the best office around....even if on the inside you think you would rather poke yourself in the eye with a pencil than to go face "SO & SO" at the office today. Most of all...keep your sense of humor.........dont take life too seriousy and have a good talk with the ones you love the most. Remind them that you will become all consumed in your new adventure...and you may get hungry and tired, but if you just keep working toward your goal.......you will make it, to the other side with a grin on your face. OH YHEA......
1. I read another post on here about calling expired listings, sending out post cards, etc. Do it diligently at first...then sit back and re evaluate if it is working for you...otherwise you spend a lot of money and time doing paper stuff instead of valuable client time.
2. The more you are in the office at your desk, the less you are with clients face to face.
3. Business cards..business plans.........and business budget.

LAUGH......SMILE......ENJOY

Wed Apr 30 2008, 15:02

After you find an office, let the top agents know that you are willing to do open houses. Not only is there a chance you can sell that listing (we have a guy in our office who always seems to sell at open houses), you will get new buyers and sellers. Let those top agents know too that you will pay them a referral fee to take out their buyer leads. Many top agents, unless they have a team, don't always have time for all their buyers.

If you are in an office with good "floor" time, ok. That means, people call in and ask about listings or want to list. That is passive and I have seen the passive agents not make it. You need to not be shy about asking for referrals from friends or to wear your name tag. The mgr of my Mc Donald's saw my name tag and we just signed a contract today. Another time, the UPS guy talked me when I was taking the photo of a listing. He will be a buyer and seller.

If you are really brave, knock on the FSBO's doors and call expired listings.

Good luck, it's hard work but fun.

Wed Apr 30 2008, 14:11

Congratulations. Now the real work begins! :)
You need to give some thought about whether you want to work in a big company or a small boutique office. One of the things you should look at is what kind of training the company offers. Many of the larger companies offer an intensive multi-day training program to really get you familiar with the company, their websites, marketing materials and then guidance about working with buyers & sellers.

Different companies also have different types of corporate structures. Some managers are "non-competiting" - meaning they are only there to help their agents (training, coaching, problem solving, guidance, etc...) and they do not list and sell property themselves. Other companies have managers who in addition to managing the office also list & sell properties themselves. Smaller "boutique" offices might have a salesperson who has their brokers license acting as the "Designated Realtor" but their primary objective is working with clients. It's important to know what kind of situation you are going into.

Things I would ask a prospective broker about:
1) Training - is there corporate training, how long does it last, what kind of on-going training do they offer, do they do personal coaching in the office or offer workshops on a regular basis to continue developing your skills
2) What is that company's market share in their area
3) What sort of website presence does the company have (do they have their own website, and if so - what sort of traffice does it get)
4) What are the fees you are going to be expected to pay in your first year. Some things you'll want to find out about are: Error & Ommission Insurance, NAR Dues (National, State & Local), MLS Dues (your yearly fee to join the MLS & your key pad fee)
5) How many agents work in the office and how productive are they. Do they have a lot of people who are very active or does the office allow alot of non-productive agents to hang their license there. I'd want an office that is productive & professional
6) What kind of turnover does the office have. If they have top agents who have been there a long time it's probably a pretty good place to work. If it wasn't - they could have left long ago.
7) What sort of atmosphere does the office have - is it friendly and supportive of new agents? You may want to talk to some of the new agents and see how they feel about their first year there.
8) When you speak with the manager you should see how you click with them. They are going to be the most important person in your training and development!

If you are looking in Bergen County by any chance, please feel to give me a call. I'd be happy to talk to you and if you're not up here, I can point in the direction of some offices you might want to consider in your area.

Good luck with your new career!

Karen Lampiasi
Manager/Broker
Coldwell Banker Residential Brokerage
201-891-7800 Ext 162
www.EverythingBergenCounty.com
Karen.Lampiasi@CBMoves.com

Wed Apr 30 2008, 13:57

you cant ask enough questions! Dont rush your decision as you will invest a lot of time (as will the compan to promot