How the Shift in Economy and Market Changed Real Estate Leadership

By Real Estate Recruiting Coach Judy LaDeur

It’s been a challenging few years – no doubt.  And of course, we’ve seen and known many agents who struggled with all those changes.  Some dropped out of the business, some went into hibernation mode and others sought the opportunities and captured new market share.  What we do know is that some of those agents who turned to take ‘real jobs’ – could have not only stayed in the business – but prospered under the right brokerage and with the right leadership and support. That is where the role of the broker, manager and recruiter definitely changed the past five years.

What we’ve seen is brokers and owners who took one of two paths.   Many owners jumped back in to listing and selling real estate again and focused on their career and how to pay the bills, at the office and home! The result? Agents saw their brokers panic and panicked as well! When agents start to panic, they also start looking for a new real estate company to call home.  The role of the recruiter was to watch what was happening in the offices and to know how the broker was handling the changes. When the broker was cutting agent services and support, and focused on their own production rather than that of their agents, it made for a prime recruiting ground for recruiters, and other managers and brokers.

I saw some of today’s more profitable brokers take a close, hard look at their expenses, and cut costs while still extending the agent services that they needed now, more than ever. At the same time, these brokers were taking a stronger leadership role by knowing what training their agents needed and bringing that training to their team. In a market where agents are working twice as hard for every dollar, they stayed with the companies that supported their ability to stay productive in the challenging market. THAT – was smart business.

I also saw many managers lose their jobs over the past five years.  We saw the role of a manager changed dramatically.  Most managers had to go back and get training on how to conduct business in a world of short sales and foreclosures.  And their agents needed guidance and support at entirely new levels.  At the same time?  The pressure was on to not only RECRUIT – but recruit more than ever before.  Offices needed to not only grow, but they had to replace the revenues lost by those agents who left the business. The press was telling new recruits it was a bad time to get into real estate and at the same time, telling existing agents that it would be years before it would turn around, and they were right. The press was certainly not a friend to the real estate industry or the real estate agent during these turbulent times. It was the manager’s job to keep agents focused and positive in a time of great uncertainty.  In fact, many offices who were experiencing INCREASED sales, told me that they had asked their agents NOT to read the newspapers or watch TV because the negative impact it had on the moral of the agent (and the office)! The manager is charged with keeping production up, and with prices falling by an average of 40%, offices needed to increase business just to break even. Now?  A good manager who can recruit, retain and lead their team in today’s market is worth their weight in gold!

Now we’re seeing a spike in companies hiring full time recruiters.  Not always an EASY job in the last few years but it’s amazing to see those who GET it, are on their game and still hiring five agents a month with callers who can book 3-5 appointments per day.  So even though it is tougher, good recruiters, like good managers, agents and owners, still find a way to get the job done! Many recruiters say that in some ways it is easier since there is so much unrest in the real estate community in general.

I’m a firm believer that anything’s possible with the right tools, training and mindset.  In fact, here are just some of the results from a recent call with our coaching members! William from FL had 4 experienced hires and 2 new hires last month! Jack from IL with 7 hires in the past 60 days! Mark with 9 hires in the past 90 days, and Tariq’s team in Ontario hired 23 experienced agents in one month and has 12 more experienced hires for last month!  The savvy broker and manager leverages the change in our industry for all it’s worth!  If you need help doing just that – and you’re ready to recruit like these champions – click here to join us for our September retreat or call us today at – 630-402-0898 to learn more!