Have you ever wondered if the sale of your house would be effected (one way or the other), depending on which real estate brokerage your Realtor works with?
First of all you should know that all licensed REALTORS® MUST be affiliated with a licensed real estate brokerage in order to legally provide services to clients.
The only way I could continue as a Realtor if I didn’t work with a brokerage like Forest Hill Real Estate, Remax, Royal Lepage, Harvey Kalles, or Right at Home, would be if I legally started my own brokerage.
Something like “Michael Shuster Real Estate Brokerage Inc.”
But I’m not doing that so let’s stay focused on the well-known real estate brokerages here.
There are many reasons why individual REALTORS® must be registered with a licensed real estate brokerage.
Some of those reasons include ensuring security with the handling of deposit funds for real estate purchases, administering ‘trust’ accounts, audited record keeping, and more.
Many real estate brokerages (the brand) spend millions of dollars to keep their particular brand uppermost in people’s minds and to attract agents to work for their brokerages.
They try to convince the public and REALTORS® that if their brand is more recognizable then their REALTORS® have a better chance of obtaining a greater market share (if you’re a REALTOR®).
Or your house has a better chance for selling for more money if you work with a REALTOR® from that brokerage.
This is a terrible misconception that must be cleared up for anyone who believes that.
A few years ago I applied to join an exclusive business networking group which only allows one professional from each industry to join their group.
Several REALTORS® were applying for this one highly coveted position.
So, it was decided that all agents (myself included) must audition (give a presentation on ourselves to the group) so that the existing group members could select the individual who best fit the group.
(HINT: Notice I used the word individual just now.)
As I was preparing to tell the group about my credentials and how I would best fulfill their needs, one of the other agents delivered his “audition speech” before me.
His personal introduction went as follows:
“My name is [John Doe] and I am with [XYZ Real Estate Company], and I am the best fit for your group because last year [XYZ Real Estate Company] sold more homes than any other real estate company.”
Please understand that first of all companies do NOT sell anything, people do.
Secondly, you (the client) do NOT hire the company (the brand) to provide the overall experience and results when you sell or buy a home.
You hire the INDIVIDUAL who you deem most capable of achieving the results you expect, and who you trust, and respect, and most likely have a good rapport with.
You hire them based on their credentials and ability, and also their personal style and personal fit for you.
Consider the following two scenarios:
1. “ABC Realty” has a great recruiting program and has been in the business for 20 years, so they sell more houses than any other company. But the agent you hired (from “ABC Realty”) has only been in the real estate business for six months.
He has very little experience and is notorious for not returning client phone calls and for not being thorough in his paperwork. Additionally, he does not proactively market properties to potential buyers.
2. “XYZ Realty” has only been in business for five years and has fewer agents working with their brokerage because they focus on quality, rather than quantity. Consequently, they sell fewer homes in a year than “ABC Realty” does.
However, the agent you hired (from “XYZ Realty”) has been in the business for 12 years and has extensive training in sales, customer service, and marketing along with being highly trained in negotiating.
Furthermore, this agent is known for returning client phone calls within minutes and managing expectations to ensure you avoid disappointment.
He is also proactive—working long hours to aggressively market your property to potential buyers—and he follows up on buyer showings and hustles offers .
Which individual do you think would provide you with a better overall experience?
Which individual will achieve greater results for you—more money in your pocket?
Which individual would you rather hire to help you buy and/or sell your most valuable asset – your home?
The moral of the story here is the importance of hiring the right INDIVIDUAL to help you sell or buy your single largest asset.
And if you’re wondering what makes a REALTOR® choose to work with one brokerage over another then I’d be happy to elaborate on that personally.
So please don’t hesitate to email or call me any time.
I’m always happy to chat. Just get in touch with me by email or phone.