Build a Real Estate Team
Instructor: John Henderson JT@grar.com
A team leader is someone who holds a real estate license and is recognized by his or her designated broker as the head of a designated team. Team leaders are responsible for supervising the real estate transactions of their team members both individually and as a team. However, the designated broker is ultimately responsible for the overall supervision of each team, team leader, and each agent affiliated with the brokerage.
There are many reasons an agent will create a real estate team. The goal of most agents is to increase volume by building their client base and getting referrals from past clients and their circle of influence. When real estate agents build a large enough circle of influence, they may generate more leads than they can manage. Some agents are happy doing enough business to keep themselves busy, while others look to expand and take advantage of all those leads.
Agents who start a team can profit by taking a share from each agent’s commissions. Some lead agents provide training, pay office bills, and offer other perks to entice agents to join their team. A successful agent that wants to increase profitability without increasing his or her workload can build on their success by hiring additional agents and forming a team.
The role of the team leader is important because the effectiveness of a leader can have a dramatic impact on the success or failure of a team as a whole. While leadership style does not necessarily dictate the success of a real estate team, one of the most important functions of the leader is to make sure the avenues of communication remain open between all members of the team.
In the fast-paced real estate industry, a team leader needs the support of the team in order to manage the increased business generated. For example, a single agent could not hold multiple open houses at the same time, but an agent with a team can assign team members to hold simultaneous open houses, increasing the number of potential buyers spoken to in a single day.
Generally speaking, the team leader is the individual who manages the team and the team’s revenue-producing listings. Team leaders seek to match member strengths with seller or buyer client needs. In some team formats, members may be encouraged to pursue listings under certain circumstances, but most often, it is the team leader who is the Rainmaker, the individual who generates business and revenue for all the members of the team.