Top 10 Mistakes New Agents Make

8/7/2019 Top 10 Mistakes New Agents Make

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Common Mistakes NewReal Estate Agents Make

Some people believe that the real

estate business is “easy money,” so

they simply jump in with both feet

before considering the effect the business

will have on their lives – both personal

and professional. You should have a

realistic understanding of the costs,

and be sure that you have a supportive,

understanding family before you commit.

Our experience has been that many

Realtors® and their families are not

educated about the abnormal working

hours or the required initial financial

investment. Realtors work evenings and

weekends, period! Don’t be fooled into

believing that you can be successful

by working 8 am to 5 pm. It just

doesn’t happen.

NOT UNDERSTANDING THE

F INANCIAL & EMOTIONAL

COMMITMENT

Your initial out-of-pocket expenses can

be as much as $1,900, including licensing

and association fees, technology costs,

legal insurance and training expenses.

On average, Agents spend approximately

30–37% of their projected gross income

on business-related expenses.

Furthermore, 8–10% of their projected

gross income must be allocated toward

marketing-related expenses such as

advertising, direct mail, brochure and flyer

development and business cards. The real

estate business is a commission-based

industry. The rewards can be astronomical,

but the time it takes to reap those

rewards may be surprising. And thus you

need to be prepared to go several

months without a check. Generally, new

Realtors should have a minimum of six

months of salary in reserve to get them

through the “building months.”

The quality and tenure of your Manager

is one of the key factors in the long-termgrowth of your business. Real estate

Managers used to view their role as

nothing more than an overseer of

documents and Agent behavior – and

unfortunately, some still do. Today, we

understand that this type of management

is unproductive and provides a work

environment that is not conducive to your

career. Successful Managers must take

on the role of coach and mentor to assist

in your development. The industry has

become so complex that it is virtuallyimpossible for even the most determined

individual to flourish in his or her first 90

days without the guidance of a concerned

and seasoned Manager.

Furthermore, it is imperative to choose a

brokerage, like Coldwell Banker, that

employs experienced, non-competing real

estate professionals as Managers. These

individuals have “been there” and know

what you need to succeed. Regardless of

experience level, our Managers are

well-equipped to offer you expert help

in setting personal goals and staying

on track to achieve them.

Equally as important is how you and your

Manager relate. Trust is key, and you must

feel as though you can discuss all issueswith your Manager. When interviewing

potential Managers, give them certain

scenarios and ask how they would handle

these situations; meet in the office and see

how they interact with peers; and call to

see how they respond to voicemail. Be

sure they are answering your questions

and are building a natural rapport with

you. All of this information will assist you in

finding the best possible fit.

10

NOT UNDERSTANDING

THE ROLE OF

YOUR MANAGER



Once you enter the business and start to

compete with other Agents for listings and

sales, you will find that today’s consumer

is well-educated and very demanding. As

a new Agent, you have two things to

sell: yourself and your company. The

prospective client must be sold on your

abilities and the power and ability of your

company to expose the property to more

buyers than your competitor.

As a dominant leader throughout

California, Coldwell Banker accounts for

more real estate transactions than any

other company. We are number one

because we treat our Sales Associates as

our first priority. We truly understand that

real estate Agents – not real estate

companies – sell homes. Our company is

also home to some of the top Agents in

the industry, and we are fortunate to

Company image and branding is

built over many years. Coldwell

Banker is a dynamic and innovative

leader in real estate services. With

roots that began in San Francisco in

have more buyers and sellers using our

services than ever before.

Market share is determined by percentage

of sales in a given area. Drive around and

look at which company has the most

homes for sale in your area, or look at

the local business journal to determine

company rankings. The top firms are the

companies that have name recognition

and thus have earned their reputation

with their clients. It only makes sense for

a new Agent to consider joining one of

these “high profile” firms. Be sure that all

companies you interview can demonstrate

their market presence to you.

1906, we enjoy a strong and depend-

able reputation throughout our

California markets – a powerful sym-

bol of our shared commitment

to realizing our clients’ goals.

Many new Realtors will join a real

estate company that lacks a well-

designed, professional and affordable

training program, not realizing that this

training is the foundation of a successful

career. Training, both technical and pro-

fessional, is essential to beginning your

career – would you expect to become

a police officer or doctor without the

proper training?

When you interview with brokerages,

investigate their training program – ask

to see the training manual, the resumés

of the people who will be doing the

actual training and make sure that the

trainers are “in the trenches” on a day-to-

day basis. Also make sure that the

training is well-organized and scheduled

regularly. Without doing so, you may

have the energy and determination to be

successful, but lack the necessary

direction to succeed.

Quality Agents grow their careers through

seminars, panel presentations and lec-

tures – a full complement of resources.

Knowing that tomorrow’s successful real

estate Agents must have enhanced skills

and educational tools today, Coldwell

Banker has made the commitment to

provide the resources to sustain your

continued achievements and prosperity,

even for seasoned Agents. This com-

prehensive source of information

helps Coldwell Banker Agents develop the

knowledge needed to work their confi-

dence in this ever-changing industry.

NOT CHOOSING A

COMPANY WITH ONGOING

TRAINING PROGRAMS

NOT UNDERSTANDING

MARKET SHARE

NOT UNDERSTANDING

YOUR COMPANY’S IMAGE



The real estate business is one that is

local in nature; however, in today’s world,

the importance of a national and global

market is unequaled.

Coldwell Banker is not only a nationally

known company, it is an internationally

recognized brand. What does this mean

to you as an Agent? As a member of the

Coldwell Banker global network, you will

be connected to more than 127,000

Coldwell Banker Agents in 30 coun-

tries – bringing more buyers and sellers to

NOT INVESTIGATING

COMPANY TECHNOLOGY

According to a 2006 survey done by the

National Association of Realtors, 80% of

homebuyers used the Internet to aid

them in their home search, and these

buyers usually conduct research activi-

ties on more than one site, with

Realtor.com and real estate company

websites as their top resources.

Imagine the detriment to your business

when you associate with a firm that

ignores the fact that technology does

sell homes. While full-service brokerages

make buying or selling a home easier

and more cost-effective, the Internet can

be an important weapon in your market-

ing arsenal. There are nearly one million

real estate associated websites. The key

to Internet leads is exposure and the

company or individual who can drive the

most hits to a site wins.

At Coldwell Banker, our Internet pres-

ence begins with the industry’s most all-

inclusive, state-of-the-art real estate

website – www.CaliforniaMoves.com.

Consumers are able to search all bro-

kers’ listings, research recently sold

homes in their neighborhood, apply for

a home loan, find school test scores,

create a map to drive from their home

to available listings and open houses,

and find places to shop – all from the

convenience of one site. Furthermore,

our CaliforniaMoves.com website, in

addition to ColdwellBanker.com and our

partner websites, Realtor.com,

OpenHouse.com and NYTimes.com, are

your clients’ doors.

In California, we are the number one sales

leader in virtually every major market. In

short, people recognize our name.

Throughout our marketplaces, the major

source of high-end buyers is business-

people from abroad. By recognizing this

trend, we can capitalize on its unique

opportunities. We know from experience

that the Coldwell Banker name positions

us to receive numerous inquiries from this

important source of potential buyers.

enhanced with state-of-the art technolo-

gy that allows our Agents to immediately

receive online inquiries.

This technology, called LeadRouter, takes

an online inquiry and routes it to the

Sales Associate's cell phone within sec-

onds. When the call is answered,

LeadRouter reads the information to the

associate and they are able to respond

to the consumer immediately. Very few

real estate firms have the scope or finan-

cial capability to provide their associates

with revenue producing technology.

All of our offices are wired with DSL

capability and are networked to commu-

nicate with more than 10,000 of our

Agents in Northern and Southern

California. The importance of networking

with successful, high-end Agents is anunparalleled resource that no other com-

petitor can match. Assure that your can-

didate firm offers on-going computer

training programs and will keep you

apprised of the latest technological

trends. Additionally, our modern facilities

include a full-time Technology Help Desk

to assist you in maintaining your busi-

ness with just a toll-free phone call,

along with professional, experienced

Information Technology System

Administrators to assist you with moredifficult computer issues.

NOT CHOOSING A

COMPANY WITH NATION

AND GLOBAL PRESENC



Years ago, a homebuyer would need

to meet with four or five people to

determine financing, insurance and

available properties. Some companies

eliminated that mentality and have

moved towards a “one-stop shop.”

A firm that offers in-house mortgage

capabilities is seen as an invaluable

time-saving resource. Coldwell

Banker’s in-house mortgage company

enables our Agents to offer their

clients the guaranteed lowest rates on

their loans, plus incredibly fast mort-

gage decisions. With one loan applica-

tion, we are able to perfectly match a

lending source to the needs of our

clients, saving time, money and effort.It’s a hassle-free process that allows

our Agents to provide truly remarkable

service to all their clients – from first-

time buyers to experienced real estate

investors.

transferring employees annually. Since

being named Principal Broker in mid-2001,

our relocation business has increased

over 85%, bringing many qualifiedrelocation leads to our Sales Associates.

be determined by you. However, we

believe it is imperative that new licensees

and their Managers have a mutual

understanding of what is expected

from both. Nothing complicated – a sim-

ple written document that outlines expec-

tations is all it takes.

NOT UNDERSTANDING

THAT CLIENTS PREFER A

ONE -STOP SHOP

Ask about corporate relocation when

you interview. You will probably be sur-

prised at the explanations some bro-

kers give as to why corporate reloca-

tion is not an important piece

of today’s real estate business.

Coldwell Banker is the Principal Broker

for Cartus Relocation, the world’s largestrelocation company, and receives all of

its relocation business. Cartus Relocation

provides relocation services to more than

two-thirds of Fortune 500 corporations,

manages more than 5,000 relocationclients and assists more than 128,000

How many of us would go to work with-

out a mutual understanding of what is

expected by you and your employer?

In the real estate business, you will

be an independent contractor. Your hours

and the amount of time you spend work-

ing will, for the most part,

NOT REALIZING THAT

CORPORATE RELOCATION

IS INVALUABLE

NOT GETTING

IT IN WRITING

For more information or to schedule a private consultation,please contact your local Coldwell Banker Manager.

© 2007 Coldwell Banker Real Estate Corporation. Coldwell Banker is a registered trademark licensed to Coldwell Banker Real Estate Corporation.An Equal Opportunity Company. Equal Housing Opportunity. Owned and Operated by NRT Incorporated.

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Top 10 Mistakes New Agents Make