Anyone who enjoys selling properties can also enjoy being an agency owner. With several agents dividing your commissions with you, owning your own business makes it easier to overcome market fluctuations and attract benefits. Of course, as a broker you should also take care of supervisory duties that you do not have as an agent, and the general expenses of running an office. But if you enjoy leadership and have the skills to manage the flow of money, the reward can be great, psychologically and financially.
- Save enough money to meet the initial costs, which include renting or buying a place, office equipment, logo design, a poster for the office, posters for the properties, website design and insurance. You also need to set aside enough funds to cover operating expenses for at least three or four months, according to Surrey Realtors. Operating costs include rent, advertising, payments, online payments, services and miscellaneous items.
- Learn about the requirements to obtain an agent license in your state and obtain your real estate agent license. In most states of the United States, you must pass a course, be 21 years old, and have worked as a real estate seller for two years.
- Choose a location for your office. Consider the zone, visibility and parking restrictions for your agents and clients, as well as the square footage.
- Establish a website that looks professional, and uses a service that allows you to display all the listings in the Multiple Listing Service (in English Multiple Listing Service) as well as your own. Approximately 80 percent of home buyers start looking for property online.
- Hire an insurance against errors and omissions. “As an agent, you legally have indirect responsibility for the actions of your agents”, says Surrey Real estate.The insurance against errors and omissions covers you in the event that a dissatisfied customer sue the agency.
- Develop an agreement with the independent contractors that delineate your expectations regarding the behavior of the agent, and includes stipulation of the commissions with the agents individually. Since they are independent contractors, it is not necessary for agents to remain in the office, but you can expect them to adhere to a code of ethics, and you can also describe your policies for the use of office space and when agents can answer calls not requested.
- Equip your office. The essentials include the furniture in the waiting area and the meeting room, a desk and a chair for the reception, a fax, a photocopier, telephone system and at least one computer. As independent contractors, agents can bring their own computers. If you provide desktops for agents, you can choose to charge them a fee for their use to offset operating costs.
- Recruit agents. The established agents will have a continuity that will benefit you. New ones can bring a lot of energy and enthusiasm to your agency, but you must train them carefully to make sure they do not make legal mistakes. They may also require sales training.
- Develop a clientele. Each agent will probably bring their own clients; But, also, advertise your agency in newspapers, real estate publications, and on radio and television. Surrey Realtor also recommends organizing an open house in the office, sending emails and making your profile known through advertising. Advertising may include, for example, sponsoring a charity or a minor league baseball team. Also, consider hiring an optimization company to boost the visibility of your website in the search engines.