I frequently receive questions about the ins and outs of building a real estate team while coaching. Here, I'll give an overview of it using some factors you ought to consider before forming a real estate team. However, I want to start off by saying that I could write a whole book about forming and leading a team. As a result, this chapter merely serves as an overview of the important factors you should consider when building a team.
How Do You Know When It's Time?
One thing you'll want to consider before launching a real estate team is whether or not it's the right decision for your business. There are some things that should be considered first, such as whether you are feeling burnt out from nonstop work and whether you are running around all day, working 12‐ to 16‐hour days.
The maximum amount an individual agent can handle alone typically ranges from 50 to 60 transactions per year, so if your average is only one every week, then maybe hiring someone else might make more sense than doing it all yourself. My breaking point was about 50 transactions as a solo agent, but even then, I had a transaction coordinator helping me manage the paperwork, and I also had a part‐time assistant helping me with part of the admin work.
You also need to consider if you'll be able to bring in enough new business to get a good return on new hires. Making the decision to launch a real estate team can be exciting and even emotional, but balancing the financial ...