I had an interesting conversation today with an Agent in Rhode Island. She works for one of the big franchises and is totally unhappy with the office and the company. Of course, with my goal to help, I asked her why she wasn't happy. There were many reasons, but the biggest was that her Broker is also her competitor as well as every other Agent in her office. She told me that even the Broker is hesitant to help the Agents because she is a compteting Broker and is always trying to beat her Agents. As she was talking, I couldn't help but think about all the big companies in which the Agents have to fight not only for their business, but to keep their stuff quiet and hidden so nobody, not even the Broker, takes any business away from them. How horrible that must be I thought!
I understand that in some cases, especially now, that some Brokers need to be selling to help keep the business going. However, I can't imagine, being a Broker, taking any business away from any of my Agents. Why would an Agent want to work for a Broker who is trying to take her business? I couldn't figure that one out.
After listening to her and saying good bye it brought even more questions to me. How can a Broker who is actively trying to work with buyers and sellers actually run their Brokerage? I know how many hours a week I work currently with 25 Agents or so. Is this the reason why we have so many unethical Agents? Should Brokers be allowed to sell property actively? Maybe if there are less than a certain amount of Agents they they could be allowed to sell too. It seems to me that it must be a major industry wide problem and might even be the single most issue that troubles our industry.
Anyway, it was just a thought and I was curious how many Brokers actually compete with their Agents and as Agents, how do you feel about that?
NO WAY!!!! I would not work for a competing broker. They will always have the advantage and they will take money away from you instead of helping you make more money. I think Keller Williams discourages it.
Hi Mitch, I know exactly what you are talking about. I've heard many brokers say that there is enough business out there for everyone. But, when there is conflicting interests, it makes it hard for the little guy (little guys being the agents).
Mitch~ There are so many agents that work for a competing broker.
I think a lot of the Broker's HAVE to list and sell in order to survive, especially in this day and time. It would be better though if the Brokers did not compete with their agents, but would the bills get paid then?
I CAN tell you from experience that when the Brokers are competing with their agents, they do NOT have the time or desire to train them properly.
I am an active broker however at this time the office / brokerage is my team and I only handle listings .. All buyers go out to the team and if a team member brings in a listing they get 25% referral fee / they don't pay a dime in adverting and they get all the buyers with only a 25% referral back to office.
If the office shifts I would be happy not to be a competing broker
Hi Mitch!
We are a brokerage where the broker is also an active Realtor, and it has been done very successfully. The first misnomer that must be addressed however, is that the broker is not a competitor. She only takes listings from her existing client base, that she established after 40 years in the business. Any calls she get asking for a recommendation for an agent ALWAYS goes to the agent that best fits the needs and personality of the person who is calling, and never herself. In fact, she has been known to refer callers that ask for her to another agent. None of our agents feel that she is a competitor. In fact, it helps that she is active since she can better relate to many of our issues. I must note that our office is unique in that we don't compete with each other...we help each other whenever we can. We can leave our listing information on our desk and not worry about our fellow agents taking advantage. It is a great atmosphere and one that breeds a positive and fun office...oh, and did I mention...successful?
I don't work for a competing Broker, and wouldn't want to! There are many offices in our area that are set up that way.
I used to work for a competing broker. Never again! I was not allowed to have my own website, I was not allowed to blog here on Active Rain, etc...for fear that I would get more leads than the "company" website, the leads from which were filtered out to the ones the broker didn't want...
I now work for a non competing broker. He lists a couple of properties a year but they're generally personal friends, or past customers. He does not take leads from the office; he has all he can do to keep the agents and their dilemmas in line, without having to deal with buyers and sellers of his own!
I would never work for a competing broker again if I could help it, unless it was just a two man show, such as me and the broker being partners together with a small office..
Mitch.......my broker is a non competing broker. There is never a question of ethics or loyalty.
Good Stuff! My biggest concern about a competing Boker, besides the obvious, is how a competing Broker can properly train and educate their Agents.
Personally I couldn't grow my business if I was out listing and selling properties. By the way, I do sell about 6 homes a year to past customers or friends.
At Tropical Realty we work as a team and everyone helps everyone. We have a few internal competitions to spice things up a little. I feel our Agents are some of the best Agents in the county and in fact, I would venture to say probably in the state of Florida. That comes from a fun and non-competing atmosphere! It also comes from me, the Broker, dedicating 50-60 hours a week in helping my agents to be the best they can be!
Thanks for all the comments!
Hi Again Mitch!
When I said our broker is active, she lists a few houses a year now. But there was a time when she was listing quite a bit. She gives an every-other-week round table to agents. Most of the actual training and educating is done by our general manager. Our own agents will quite often do a round table about a subject they know and do well with. Also, we don't have a huge turnover, so we are only training at most 2 agents at a time and many times there aren't any newbies to train.
I also agree that a broker should not compete with his agents..Some broker/owners still have the agent mentality and are not ready to hang up the pen. The growth of the brokerage pays. My feelings are that if an owner decides to actively participate in sales , then he should have an office manager that takes care of managing and developing the agents. That way the Broker/Owner is treated as if he is an agent in the office and everyone is on the same page.
And please note that I am a RE/MAX agent that does not require any hand holding but still feels that the support systems should be in place starting at the top.
Can I leave a re-response to Manny?
Manny, please refer back to my response (#5). I think you may be right in some cases, but please allow for the possibility that being an active agent and broker successfully is possible. Also, you may not know this, but many times an owner/broker's commissions go completely back to the business in order to offer more perks to the agents. There are always two sides to a story....
I'm sure there are exceptions, but if your broker is earning most of their own personal income from listing and selling and keeping leads from the website, I strongly suggest looking elsewhere to work. It is not a good situation to be in, when your broker truly IS competing with you.
Great responses to a blog I thought was done. I love when things get going again. The first thing i tell new Agents when looking for a place to hang their license is to be sure the Broker or Manager is not competing with them. Not as much for the business they will take from them at some point, but from the point of guidance and education. If the broker is out listing and selling homes, there is a good chance they won't be available when it comes that you need help. A true broker/manager should be there to assist and grow his or her Agents.
As far as those Brokers that need to list and sell to keep their companies viable, then maybe it's time to reevaluate your business model or the Agents you have working for you. I list and sell about 3-4 homes per year to keep in practice. I do think it's important to keep this stuff fresh in the Brokers mind too. In the end, as an Agent, it's up to you to decide who to work for in this business. If you are new, stay away from competing Brokers. If you are experienced, then that's up to you. I personally would never work for a Brokerage where my competitor is also my Broker.