Contrary to what many people believe, real estate does not sell itself; people sell real estate, and it takes the right kind of individual to succeed in this competitive field. If you are the owner or principal of a real estate or mortgage business, you need to associate yourself with the right people.
When thinking about expanding your real estate business and increasing your bottom line, you need to start with a good recruiting strategy. For owners of mortgage brokerages, this means hiring the best loan officers, processors and underwriters. In the case of real estate agencies, this means hiring the best realtors, sales associates and marketing experts. Essentially, you need to think about how to attract top recruits to your business.
Here are some ideas on how you can find, hire and retain the best associates for your mortgage or real estate business:
Start Your Search Online
Home buyers and mortgage applicants take to the internet when they wish to start their search for properties or home financing, and you should do the same when you start looking for new associates to work in your company.
Depending on how familiar you are with technology, going online to search for real estate and mortgage candidates could be easier said than done. If your company has a strong social media presence, this task can be made easier if you start looking at your list of followers to see if there are potential candidates. If you have not put your company on LinkedIn, this will be a good time to do so.
Always Put Quality Before Quantity
In the early years of the 21st century when the United States was enjoying a real estate bonanza, many brokerages chose to apply a strategy based on the "strength in numbers" principle, meaning that the high number of agents or loan officers constantly bringing in new prospects increased the likelihood of closings.
The American housing market has changed radically since the bursting of the real estate bubble in 2008, and thus it does not make sense to hire many realtors or loan officers who will have a hard time working cold leads. According to realtor.org, it is better to retain a balance of a few sharp trainees working alongside seasoned veterans and a marketing expert. You should focus on recruiting only the sharpest individuals at a time when the job market is in your favor.
Cultivate Builder Relationships
After 2010, first-time home buyers shifted their attention to new construction projects and master-planned communities developed by acclaimed home builders. If you want to achieve real estate success from now until 2020, you need to cultivate the right relationships with builders and suburban developers.
Due to new rules enacted by the Consumer Financial Protection Bureau, American builders can no longer serve as an all-in-one shop offering homes, mortgages, title, and insurance; the new regulatory climate makes it easier for realtors to forge working partnerships with builders who often break ground amidst high speculation. The reality is that many builders are not very effective at marketing or developing leads; if you can recruit agents who have experience working with builders, your chances of succeeding in today's market will greatly increase.
Look for Offline Charisma
The housing market is still ruled by business relationships that culminate in face-to-face transactions. To this effect, you need to recruit charismatic real estate and mortgage professionals who will be able to meet and sit down with prospects for the purpose of closing deals.
According to boomtownroi.com, your initial recruiting efforts must be complemented with offline meetings that allow you to measure the charisma and personality of your future agents and loan officers. Pay close attention to their ability to engage you in conversation; you may want to ask them how they would deal with specific prospects such as young families, retirees, single mothers, veterans, and others.
In the end, the recruiting process may require you to spend considerable time vetting candidates, but you have to keep in mind that these will be the associates who can take your business to the next level.