How to Find the Right Real Estate Broker To Work For

You may be wondering how to find a real estate broker as a real estate agent. It’s not just about the commission splits. Each real estate company has its own culture, perks, and drawbacks. Finding the right brokerage is crucial in setting yourself up for success.

Did you know that as of 2022, a staggering 106,548 real estate brokerages were operating in the US? These range from national brokerages to boutique small firms. With so many options, how do you navigate and find the one that best suits you?

When learning about real estate agencies and interviewing with brokerages, it’s important to consider a range of factors. This comprehensive evaluation will help you find a real estate broker that best aligns with your career goals and values.

Determine Your Priorities

You’re new to real estate. Maybe you’re new to the workforce in general or have considerable business experience in a different career. Either way, you’ll have new skills to learn.

How to find a broker as a new agent isn’t much different from an experienced one. It’s about knowing yourself. Every person has a different learning curve, a natural talent for sales and customer service, and long-term career goals. That’s why choosing a brokerage to work for comes down to your priorities. What you want in a real estate broker is likely different from those in your licensing class.

Rather than think “big” or “small” real estate brokerage, “name-brand,” or “startup,” put the emphasis on the experience you’ll have with that particular firm or broker.

Do you want:

• Mentoring: As a beginner, having experienced agents guide and support you can significantly help your real estate career growth. New working professionals can especially benefit from a mentor program that pairs them with a successful agent. These real estate professionals can coach you through setting up a business structure, effective marketing practices, time management, and networking skills. Do ask how the brokerage pairs fellow agents with new mentees, how long they’ll work with you, and if there is a cost associated with the mentorship program.

• Formal Training: If they do not pair you with a mentor, is that because they have an ongoing training program? Larger, national brokerages who expect to take on new agents may have crafted a formal training program that guides you through your first days with a real estate license to closing your first sale. Remember, real estate school doesn’t teach you everything about the industry.
• Personalized attention: Someone who knows you and your business inside out can be invaluable. Even if you’re someone who prefers to go at it alone, knowing a seasoned broker is easily accessible when you do need assistance is invaluable. Ask about the management structure of potential brokerages and how much contact time you’ll get with them. You may think a boutique brokerage will give you more individualized attention. However, independent brokerages may be extremely busy and lack the time to answer your questions or help you with workshop problems. It’s all about how they are structured to accommodate new hires.
• Tools: What tools does the brokerage provide for their agents? Technology is constantly evolving. Selecting the right tools to manage the process will help you deliver the best services for the client. They’ll also provide the insights and efficiencies you need to grow your business in the long term. CRM systems, lead generation tools, and social media marketing platforms are just the beginning of how tech supports your business. Look at the specific resources brokerages offer. A firm that adopts cutting-edge technology platforms is looking for an advantage and thereby has an eye on the future.
• Name-brand recognition: Does working under a well-known brokerage matter to you? Starting with a larger brokerage that already has established brand recognition in the market makes sense on the surface for brand-new agents. Jumping on their market reputation gives clients a sense of security and credibility when they hire you. These national brokerages sometimes have an easier job with lead generation, which they can pass on to newer agents to kick-start your sales. However, keep in mind that name recognition does not guarantee success. Your individual efforts and skills will ultimately determine your success as an agent.
• Individual vs team: Do you prefer to work independently or as part of a team? Culture matters. Some brokerages provide ample space, letting agents work independently while giving minimal, as-needed support. Others encourage collaboration and teamwork. As a new agent, you may be hired onto a team to learn the industry first as an assistant or an inside sales agent. Consider which environment would better suit your work style and goals.

A brokerage’s investment in you

A real estate agent grows their business by generating leads, building a strong network, and closing deals with five-star reviews. Behind the scenes, a brokerage should allocate resources to support this business development. After all, if you succeed, they succeed.

In your brokerage interviews, ask:

• What resources does the brokerage provide for lead generation?
• Do they have training classes for agents to expand their skill sets?
• How do they help you develop your personal brand and marketing strategies?
• What back-end support, such as administrative tasks or clerical work, will be provided?

Plan for your growth

Think long-term professional growth from day one. Maybe you don’t want to own a brokerage right now, but as your real estate career grows, maybe you’ll make that a goal. Perhaps you’ll aspire to a broker-associate or broker license, depending on how your state’s licensing structure. Maybe you’ll decide you want to open a boutique brokerage that focuses on a particular niche using all that experience you’ve acquired.

So dream big with your personal goals, and have a plan. Know how you will get from being a novice real estate salesperson to running a multi-million dollar producing team. Will the brokerage support this vision for your business? And how are they going to get you there? 

You may start as an Inside Sales Agent (ISA) or Transaction Coordinator as part of a real estate team. A structured team plans for growth, with estimates of how long it takes the average person to move through each role on their way to mastering the real estate business. But don’t stop there. Find the successful agents and experienced mentors who will help you achieve your vision.

Even if your long-term goal isn’t to run your own firm or real estate team, just seeing how a real estate brokerage plans for an individual’s longevity signals they care about their people.

Commission rates

While it shouldn’t be the end-all of your decision, a fair commission split does matter. At the end of the day, you have bills to pay. The sales commission is your primary source of income. Understanding the brokerage rates and how that may impact your budget must be considered.

Ask:

• What is the brokerage’s commission structure?
• What expenses does the commission fee cover?
• Is there a desk fee or other associated fees?
• How are expenses, such as marketing materials or technology subscriptions, handled?

Calculate your budget and compare the rates with other brokerages to see which option is most financially viable for you.

Consider what you’re getting for your split, too. Does one brokerage give you more resources for the fee? Will you earn more with a lesser commission fee but pay more out-of-pocket for subscriptions to your own CRM or marketing tools? A 100% commission seems alluring, but you’ll have business expenses from E&O insurance to marketing costs.

Reputation and culture

Do weigh the brokerage’s track record and specialization. Start networking in the industry. Do they have a good reputation in the industry? Go ahead and read that online review from clients. You want to launch with a brand trusted by homeowners in the markets you’re considering.

Who you work for makes a big difference in the experience you’ll have. Maybe you don’t mind working in a real estate office with an intense, competitive work environment. Or, perhaps you’re an out-of-the-box thinker and risk taker and would rather be in a culture that encourages those risks.

Larger firms may have a more rigid, structured transaction process that they insist their agents follow. The fluidity of smaller firms appeals to some, but the brokers may expect you to hit the ground running and work independently.

In the interview process, ask about the team culture from agents and their clients. See how long the seasoned agents have been working for that broker. The longer they’ve been there, the more that could signal fair and supportive treatment.

Real estate speciality

Homes aren’t cookie-cutter, and neither is the real estate industry. Some brokerages specialize in a real estate niche. That may be a niche you want to work in.

So, is the real estate brokerage known for any particular niche or specialty, such as luxury real estate or investment properties? Finding potential brokers with expertise in that field can greatly benefit your career as you’ll learn more about selling in that niche.

Finding your real estate brokerage home

Some brokerage changing is a natural part of the business. A survey from 2023 found that most real estate agents have been with their present firm for six years but have been in the business for a median of 11 years. As your career grows, so will your needs and priorities. You’ve got to find a brokerage with the right combination of supporting your needs, giving growth opportunities, and providing a fair commission split. Size doesn’t matter; you can find what you need at a national chain or independent brokerage.

This is a business decision. Ultimately, your brokerage should guide you toward success and help you achieve your goals. Remember, the right fit for someone else may not be the right fit for you. So, bring this list of questions into the interview process to help make an informed decision. Trust your gut and choose a brokerage that aligns with your priorities.

 

FAQs

Do I need to pass the real estate exam before being hired by a real estate brokerage?

Every state has different regulations and rules. Generally, you must have a real estate license to represent others in buying, selling, or leasing real estate. That means taking approved real estate courses and passing the exam. There may be tasks you can do under the supervision of an experienced and licensed real estate agent while you attend a real estate school. For example, as their assistant, you can help schedule the photography shoot, design marketing materials, and set up client appointments. Check with your state’s regulatory commission about what you can and can’t do until you earn a license.

Where do I find real estate classes?

Your state has a regulatory agency that oversees the real estate industry, including requirements for real estate licensees. They should have the real estate course requirements and approved course providers listed. Online training is now an option in many states so that you can learn at your own pace.

How do I learn about the real estate market?

One source to watch is recent data. Local real estate associations may publish this as public information. Once you are licensed, your real estate firm should give you access to the multiple listing service (MLS) and may have other tools that enable you to track trends. Partnering with an experienced agent who’s worked in your geographical area or niche for some time can also give you more insights into what’s happened in the market.

Updated July 2024