With over 100,000 brokerages in the US competing for the approx 2 million licensed real estate agents, retention is just as important as recruiting when it comes to the success of a brokerage’s growth. The same is true for real estate team owners. In NAR’s most recent study, agents have been at their current brokerage for an average of 5 years, while the average career of an agent is 10 years.
I personally see agents in my area change brokerages and teams all the time, and usually, it’s in a search for something they feel they’re not getting where they currently are. If you’re a broker/owner or team lead looking to keep your agents longer, check out our top 13 best strategies for real estate agent retention.
1. Training
Real estate agents, especially agents newer to the business, love having a full training calendar available to them. Create a robust training schedule with a combination of both in-person and virtual classes, with at least one class per week. Vary the topics as well, from introductory contracts classes designed for brand new agents to lead generation strategy sessions built for your top producers. This will keep all your agents engaged, regardless of their production level.
2. Top-of-the-line CRM and agent website
Real estate agents love their tech. Having a top-of-the-line client relationship manager (CRM) and agent website available to your agents is important for retention, as it saves the agent the hassle and expense of purchasing their own software and designing their own website. It will also increase your agents’ production by helping them keep track of their leads and keep in touch with their databases systematically.
A CRM that integrates with the agent site and can generate leads (all in one) is usually the way to go. Check out Market Leader, one of the leading CRM platforms used by brokerages and teams. Market Leader offers a comprehensive CRM, complete with a mobile app and customized website. You can also use Market Leader’s lead generation tools to provide leads to your agents, another important part of agent retention.
3. Mentorship
Beyond offering just classes, it’s also important to provide hands-on mentorship programs. The details and structure can vary, but at its core, a solid mentorship program involves an experienced agent volunteering to guide a new agent through their first few transactions. They’ll go on appointments with the new agent, answer questions and potentially even step in to assist with tough negotiations.
Most importantly, a mentor acts as a security blanket for newer agents who worry about not knowing what to do or say when working with a client. They will love having a dedicated person to call.
In exchange for the mentor’s help, both agents agree up front to a commission split that’s a win-win for both. I’ve seen splits ranging from 75/25 (if the client is already secured) to 50/50 (if the mentor is helping the mentee land the business). Mentorship programs are easy to set up once you find a few mentors willing to help out while earning some extra income. Offering a one-on-one mentor is a significant value-added benefit for agents who require additional support.
4. AI technology
AI is the new thing, and it’s not going anywhere. Many agents are actively learning about AI and seeking out AI platforms that help them streamline their businesses. Stay ahead of the curve by offering AI services to your agents, saving them time and money. The more tools you provide your agents, the more likely they are to stay with your brokerage or team.
AI can assist with automating text and voicemail messages for following up with leads, creating designs for social media and marketing content and even virtually staging agents’ listings. Plus, since many brokerages aren’t yet offering AI services, this is one way to differentiate yourself from your competition.
Shilo AI is another fantastic tool to offer to your agents. It’s an AI assistant for real estate agents that analyzes, coaches and automates their sales calls. Agents will love how easy Shilo AI is to use, and you’ll love the results your agents will get.
5. Done-for-you services
Another way to make your real estate brokerage or team stand out from the competition is to offer a menu of done-for-you services for your agents. These can include:
- Marketing materials such as brochures and business cards
- Yard sign installation and removal
- Runner services
- Social media marketing
- Transaction coordinator
- Vendor discounts or even an in-house vendor, like a photographer
By providing these services in-house, your agents will save the time and stress of having to find people to do these things, freeing up their time to go find more real estate clients and close more deals. Even if the services you offer come with additional fees and aren’t included in the monthly office fee, most agents will still appreciate the ease of having these services at their fingertips.
6. Low fees
Speaking of fees, do what you can to keep your monthly brokerage fees as low as possible, while still providing a high level of support for your agents. Easier said than done, but one option is to offer two different fee and commission split structures, allowing your agents to choose which one makes the most sense for them.
This could look like an independent model (lower split in exchange for fewer services/support) and a dependent model (higher split for more support). Agents can select how much support they want and are willing to pay for, making your brokerage or team more flexible and more attractive to more agents.
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