Whats a big name worth anyway?

Question

I've been considering my plans for the new year and am just wondering what all you think about big brand names vs no brand name broker. I pay my own fees, get my own clients, and do all my own marketing. I have no need for "the office" at all, but I cant be a broker because I have not been licensed long enough. Anyway, I could go work for my investor buddy who is a broker and keep more of my money and be able to do more creative things as he doesnt care what I do. The only thing that stops me right now (besides a few current contracts I have that will soon expire) is I wonder if people will be less likely to trust a no brand name realtor. What do you think? Would I do myself a disservice by going to a very small unknown name broker? Or are consumers smart enough to understand that an agent is only as good as the agent themself, and brand name has nothing to do with it?

Michael Quarles · Answer

Good to meet you...

Irrespective of training.. The larger Brokers can afford you... After all they don't sell real estate, they rent real estate. They have the staff you need, IE receptionists, transaction coordinators that you pay for. State of the art new copiers, coffee is always made, plenty of people around to waste your time chatting with about family and the weather...

Sorry for the cynical view... As a broker I understand why we have 100s of agents...

Maybe rather then looking at a company you should look at a top producer to mentor you for a year or two and get paid learning the ropes... When you hang around a Gorilla you start acting like one... And the reverse is also true.

Good luck.

Michael

PS within your question to spoke about a couple contracts that will be expiring soon... Honestly that mind frame doesnt serve success...

Timothy W. · Answer

The agent makes all the difference.  I have an agent I know I can list a property with and something might happen if the stars align (he has a very big name behind him).

I also have an agent that I know I can call and a property WILL be sold.  He has no big name behind him.  He works his butt off and is a serial networker.

Bill Gulley · Answer

Hi, Henry made the point I was looking for....TRAINING! Mom and Pop Realty won't have the training and staff support that Caldwell Banker has or Prudential. Carol Jones and Murney are big names here and both started as small independents, but are affiliated with relos, And both having well over 500 are the best places to start, but after you find out what's going on in the local market, many leave for better paying opportunities. Chances are you won't be a relocation agent or an REO agent as such are kind of bennies to the old pros (or other considerations), so a company that says they have that as a big source of their business really may not be a good indication or to base your selection as a new(er) agent. IMO Bill

Henry Chen · Answer

If you are just entering the industry i think a big name company will help you build your own name. In most cases the big name companies provide more training and support, if needed.

If you are established, as in your case, I dont see why you should.

Richard Warren · Answer

My 2 cents:

I was in the financial services industry for over 15 years and I had to make a similar decision when I was starting out.  Do I start with the big name outfit like Merryl Lynch, Prudential, Paine Weber, or do I start with a no-name local outfit that pays twice as much?  The big names will give you credibility with some people but the business is really about the personal relationships that you develop.  I started with the no-name firm and it worked out just fine.  It was harder to get started, but ultimately the right choice for me.

It really comes down to how you are marketing yourself.  If you are relying on mailers or advertisements then you will definitely see the benefit of going with a name firm because of the trust factor.  If you are depending on personal relationships the name isnâ€™t as important because people are buying you, not the company.

Good Luck!

:cool:

Minna Reid · Answer

Kind of my feeling exactly...now granted this was certainly a rough year to become a realtor and I didn't expect anyone to grant me the quick road to riches, but I thought there may be some advantage to joining the big guy. However there was not, and I have been a stand alone shop since day one. Never mind even trying to get them to understand investing LOL...that was always a complete lost cause.

Rich Weese · Answer

If you're good, it won't matter, imo. I went on my own many years ago and it was fantastic. I got tired teaching my broker about investing and then paying HIM. If interested in more, I detailed it somewhat in the Meet The Investor forum on BP. Remeber, 10% of the realtors make 90% of the money and the other 10% scramble for the crumbs, as is the same in insurance sales, etc. Rich.