{"id":11484,"date":"2010-03-10T19:52:13","date_gmt":"2010-03-11T02:52:13","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=11484"},"modified":"2010-03-10T19:52:13","modified_gmt":"2010-03-11T02:52:13","slug":"you-dont-need-todays-idea-of-a-team-to-succeed-in-a-big-way","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/11484\/you-dont-need-todays-idea-of-a-team-to-succeed-in-a-big-way\/","title":{"rendered":"You Don’t Need Today’s Idea of a Team To Succeed In a Big Way"},"content":{"rendered":"

Teams have proven themselves a potentially profitable strategy in real estate brokerage, as almost every mid-large company has at least one pretty successful team under its roof. I’ve never had buyer agents or specialized listing agents on my team. I use the same philosophy Dad and his buds. <\/p>\n

Though they all agreed about the possible income teams offered, many eschewed that approach for a modified MO, still more or less using a team. They preferred the OldSchool<\/em> blueprint which had the go-to guy at the top, with support staff doing all non-revenue producing labor. <\/p>\n

I’m convinced that approach is more conducive to a real estate investment broker than the army of buyer agents approach used in houses. Here’s why.<\/p>\n

Caveat:<\/strong> The investment niche about which I’m speaking is residential income, mostly smaller stuff, say 1-4 units, though it would be just as effective with larger properties, as I’ve done before myself. It assumes knowledge of pertinent tax codes, complete understanding of before\/after tax cash flow analysis, and the judgment to apply those skill sets in the implementation of the proper strategies dictated by proper analysis. Furthermore, I assume lead generation isn’t an issue. That is, there are enough prospects for a pro to get sufficient at-bats. <\/p>\n

Let’s say your market’s median duplex price is $250,000 or so. A 3% side is $7,500. Let’s also assume the average net equity of your ‘low hanging fruit’<\/em> is $115,000 give or take. If your analysis shows a tax deferred exchange would markedly improve your client’s position, here’s what might happen. You effect the sale of his duplex, then ID about twice that much in ‘upleg’ property — property into which he trades. (This example uses 20% down payments.) You make 3% per side on those too — another $15,000 or so. One client, essentially one transaction, $22,500. <\/p>\n

Compare that to the house team template. Using the same price point, and assuming the buyer agents are generating the sales, (and paid 50% of the commission) the team must do six separate transactions with six different clients to net the team leader the same gross income. <\/p>\n

If Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Teams have proven themselves a potentially profitable strategy in real estate brokerage, as almost every mid-large company has at least one pretty successful team under its roof. I’ve never had buyer agents or specialized listing agents on my team. I use the same philosophy Dad and his buds. Though they all agreed about the possible […]<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[212,5],"tags":[],"class_list":{"0":"post-11484","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-flourishing","7":"category-real-estate","9":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":18324,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/18324\/buyer-agency-project-buyer-agents-offer-no-value-today\/","url_meta":{"origin":11484,"position":0},"title":"Buyer Agency Project: Buyer agents offer no value today.","author":"Brian Brady","date":"July 17, 2021","format":false,"excerpt":"\"I just showed three houses this week, out in L******, and all of them had 2% co-brokerage fees.\u00a0 Learn to sell, listing agents\" I read this post (paraphrased), from a former car salesman with a Florida real estate license, in a Facebook group the other day.\u00a0 The irony of it\u2026","rel":"","context":"In "Disintermediation"","block_context":{"text":"Disintermediation","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/disintermediation\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":312,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/312\/the-fsbo-and-bubba-variety-hour-how-to-make-the-buyers-agents-dance\/","url_meta":{"origin":11484,"position":1},"title":"The FSBO and BUBBA variety hour: How to make the buyer’s agents dance . . .","author":"Greg Swann","date":"September 9, 2006","format":false,"excerpt":"Our friend, colleague and personal marketing god, Richard Riccelli is getting ready to FSBO his Boston townhouse. He's spent a year planning this down to the last detail, including condo-izing his property into two apartments so that they can be sold separately -- or together if someone wants a residence\u2026","rel":"","context":"In "Blogging"","block_context":{"text":"Blogging","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/blogging\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2202,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2202\/a-consumers-guide-to-the-divorced-real-estate-commission-cataloging-benefits-starting-with-a-complete-catalog-of-available-homes\/","url_meta":{"origin":11484,"position":2},"title":"A consumer’s guide to the divorced real estate commission: Cataloging benefits — starting with a complete catalog of available homes","author":"Greg Swann","date":"November 10, 2007","format":false,"excerpt":"Part IV: Divorcing the real estate commissions will result in benefits not just for buyers but also for their agents and for the real estate market as a whole The National Association of Realtors is embroiled right now in a protracted anti-trust suit brought by the United States Department of\u2026","rel":"","context":"In "Marketing"","block_context":{"text":"Marketing","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2179,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2179\/a-consumers-guide-to-the-divorced-real-estate-commission-why-buyers-and-sellers-each-paying-for-their-own-representation-is-the-most-significant-reform-that-can-be-made-today-in-residential-real-estat\/","url_meta":{"origin":11484,"position":3},"title":"A consumer’s guide to the divorced real estate commission: Why buyers and sellers each paying for their own representation is the most significant reform that can be made today in residential real estate","author":"Greg Swann","date":"November 7, 2007","format":false,"excerpt":"Part I: How we got into this mess in the first place Can we be straight with each other? I'm not a soft and subtle kind of guy, and my working assumption is that you are sick to death of being hustled -- handled -- lied to. We yammer all\u2026","rel":"","context":"In "Marketing"","block_context":{"text":"Marketing","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":3027,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/3027\/gen-x-gen-y-and-the-end-of-the-traditional-real-estate-business-model\/","url_meta":{"origin":11484,"position":4},"title":"Gen X, Gen Y, And the End Of The Traditional Real Estate Business Model","author":"Barry Cunningham","date":"April 27, 2008","format":false,"excerpt":"\u00a0 With the median age of real estate agents being 52 years of age (source NAR), new Realtors hoping to make their mark in the real estate business are casting aside conventional wisdom. New Real Estate Agents Seeking Gen X And Gen Y Buyers Break From The Mold New real\u2026","rel":"","context":"In "Disintermediation"","block_context":{"text":"Disintermediation","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/disintermediation\/"},"img":{"alt_text":"Real Estate Radio USA | Gen Y Homebuyers","src":"https:\/\/i0.wp.com\/www.realestateradiousa.com\/blog\/wp-content\/uploads\/2008\/04\/geny.jpg?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":144,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/144\/the-buyer-can-and-should-negotiate-the-buyers-agents-compensation\/","url_meta":{"origin":11484,"position":5},"title":"The buyer can — and should — negotiate the buyer’s agent’s compensation . . .","author":"Greg Swann","date":"July 28, 2006","format":false,"excerpt":"My phone hasn't rung yet, but my ears are already burning. My column in today's Arizona Republic: Buyer should negotiate compensation for agent. (A more-permanent link.) This is Ardell's turf, of course, although my take on The Big Picture is somewhat different. In any case, I expect to have my\u2026","rel":"","context":"In "Marketing"","block_context":{"text":"Marketing","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/11484","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=11484"}],"version-history":[{"count":2,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/11484\/revisions"}],"predecessor-version":[{"id":11536,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/11484\/revisions\/11536"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=11484"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=11484"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=11484"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}