Real estate teams are forming all over the country but are they a benefit for the client? Real estate agents typically belong to an agency or brokerage. This is where they hang their license unless they want to be on their own, taking all the risks and liabilities of a brokerage on their own. For instance, I’m part of Windermere, it’s the brokerage under which I work. Windermere assumes all the liabilities and carries the insurance for all our agents. But within that, there can be real estate teams or partnerships.
Rogue agents can set up their own brokerage and there are a lot of them in any market across the country. However, they must carry their own insurance and it can be costly. As I said before, agents can work alone or with a team either within or without their brokerage.
A real estate team typically does the daily mundane tasks that the primary agent may not have time for. This could include other agents, virtual assistants or administration. The cost for the client doesn’t change, meaning the commission is typically the same whether you choose to work with a team or individual. Today, about 26% of agent work within some type of team. This has made it easier to focus on negotiations and deal directly with the clients rather than get bogged down in paperwork.
However, if you plan on working with a team make sure they have these key points nailed down:
If the team understands what everyone is doing and all are on the same page, the transaction can progress smoothly and more efficiently than with just one agent. It doesn’t matter what the home prices are but the volume of sales. We want to be on top of all our transactions and not falter just because we take on more business.
A team can really consist of many different facets from home stagers and financial counseling to administration work and finalizing documents. A team must work together otherwise the benefits are lost for both the agent and the client.
Residential real estate is an anchor for a lifestyle. Thus, customers often seek agents who will not only secure the best financial deal but will also grasp their worries, needs and wishes. The latter requires a level of intimacy that may be harder to achieve as the number of involved real estate professionals grows. [Source]
But this also doesn’t mean you should be looking for a team over an individual. Clients often choose a team because of one agent on that team, usually the well-established team leader or owner. Regardless, choose a team or individual based on the qualifications and rapport you build with them, not just because they are a team. Not every team runs smoothly so consistency and referrals are often the earmarks of a great agent or team.