The Real Estate Franchise is just an Alternative to succeed in this sector.
Investing in a real estate franchise is not for everyone, nor is it the best or worst option to enter the real estate sector and make money. It's just one more alternative that suits a certain class of people. Others prefer to work independently, because that is what the body asks of them.
If you are thinking of working in a real estate franchise or investing in a real estate franchise in your city, think twice and please read this article to the end. It will give you pause.
The real estate franchise is an alternative to enter this sector. You also have the alternative of working as an independent real estate agent. I tell you with knowledge of the facts. I have been working in this real estate sector before franchises appeared like mushrooms in the field and I think I know them well, (actually I have been working in this sector since before mobile phones or cell phones appeared).
So I know what I'm saying. My professional success started to come once I stopped crap and started working as an independent real estate consultant. Maybe because he was in the wrong real estate franchise,Al Hartman.
I tell you my little story, to take for granted that I know what I am talking about; that I speak from my own experience and that I know the "modus operandi" of the many real estate franchises. And there are them of all colors, tastes and flavors.
My answer to all the people who contact me regarding working or starting a franchise is always the same: the real estate franchise is a real estate business model available to be successful in this sector. That I have no doubt. With a franchise, you may sell "quite a lot" of properties; but I can assure you that earning "enough" money or silver by selling "enough" properties is not going to happen.
The Franchise and the Franchisee
Let's get one thing clear. You can enter this sector by becoming a franchisee, that is, using the business model of another person or company to create your own business in a certain area. A business that will be successful or not, depending not on the franchise and its business model, but on your management, on how you interpret and apply the business model that the franchisor has shown you.
And above all about how you manage your commercial and office staff. Here, my friend, is the key.
The Franchise Office and the Real Estate Agent
Working for a franchise as a real estate agent is a good alternative to enter this sector only for those who do not have that entrepreneurial spirit that is needed, to work as an independent advisor and create their own business from scratch.
Yes, it is fine to charge 100% of the sales commissions and be your own boss, but that does not come easily to those who do not have discipline, strong organization, do not know how to motivate when the wind blows in the face and has no business vision .
Quite a few independent agents believe that by being independent they will earn more because they will be able to make more sales without having to spread the commissions. Sales are directly related to profits; but it is not directly proportional. Not by selling more, you are going to obtain a greater profit. It all depends on the property you are selling and your expenses. Especially in online advertising.
Before continuing, I must comment that I have nothing against real estate franchises and that my point of view is not related to selling you my coaching services. It is related to not being fooled by unrealistic sales figures and forecasts of some real estate franchises.
I know a real estate agent, Carmen Monteverde in Valencia, Spain, who has lost more than € 12,000 as a franchisee, with a franchisee that did not provide adequate support to earn the money that her forecasts indicated, with the business plan that they showed her. She was neither given the support nor the proper training.
I already said, not all franchises are the same. But above all, what is different in any franchise is how each office of that franchise is managed.
An office of a world-renowned franchise can be a business only for the franchisee, because working there is unbearable; Or the opposite could happen: A franchise that is not well known or its business model is not the most appropriate to what the market requests, may have one or more offices where both the franchisee and all those who work in make money. she offering good service.
It all depends on how that office is run.
| The France Real Estate. Advantages and disadvantages.
Working for a real estate franchise has its advantages and disadvantages and sometimes, (depending on the real estate franchise), so many disadvantages that it is not really a business for the franchisee.
Yes, yes, I know not all real estate franchises are the same in their business model, in the way they are managed and in the professional training of the personnel in charge of managing that franchise in a given country.
the solution is to choose well with which franchise to become a franchisee. And franchises would also do well to choose their franchisees not only on their financial ability to have a franchise.
For this reason, the answer that I have given to these 8 professionals, (who flatter me for asking my opinion), on whether they should become franchisees of a real estate franchise has been: Think carefully with whom you go to bed, because the most beautiful sometimes is not the best. Being a franchisee is like getting married.
If you are willing to learn alone, to build your business little by little the first 6 months, while you learn how to position yourself and attract online, and then earn so much money that it makes you dizzy, the real estate franchise is not for you. But you need to have an entrepreneurial spirit and and envision your future in creating a business and not in securing a job.
The large real estate franchises that we all know, (which I list with the fingers of one hand), are the ones that are saved from burning.
They offer good training, (although it could be better), a promising future for those who do not work alone and work towards their goals and provide tools to attract and sell that help a lot to those who use them well and constantly.
The irrefutable fact that they are good is that they grow and grow and do business and more business. There is always some office that is the black sheep of the group, but that comes with the territory.
Then we have the rest of the real estate franchises, among which are those that work more or less well, of which there are quite a few, (and I will not go into here why it works how they do it) and a few real estate franchises that are the shame of the sector.
And since I mention it, the fact that they are still doing their thing, that any real estate agency or illuminated tomorrow set up a real estate franchise with good marketing and little to offer, is the responsibility of the Real Estate Associations that should maintain the standards of professionalism in the sector in its area of influence.
The disadvantages of a franchise depend on its business model, how it trains its staff and how its staff is managed. Sometimes the rules imposed by the franchises are not followed and other times they are misinterpreted by the offices and then what happens happens: too much staff turnover.
The Real Estate Franchise is Not Made for Everyone.
There are people who would feel uncomfortable working as real estate consultants from home, unsupervised and going to the fridge every two by three. There are people and real estate agents who do not even understand how you can run a real estate business from a kitchen and doing housework. "And putting the washing machine? Don't screw me! ”.
Yes you can create a real estate business online from the same kitchen.
The real estate business is online companion. You do not need a place at street level to attract and sell properties. Your potential client cares little if you have 10 or 200 properties in your portfolio; if you have an amazing website; if you are a franchise or if you are the same Ministry of Housing. What interests the client is: “Do you have the apartment I'm looking for? Well, if you don't have it, it doesn't exist for me. If you can't get me to find you online, now, for me you don't exist.
A real estate franchise can give you a lot, some a lot and others a little less; But what none of them will give you is the chance to earn so much money that it makes you cry. What are the few who earn more than $ 100,000 a year in this sector today working as independent agents? No, there are more advisers than you think who earn that and more. Today, having a thriving real estate business does not mean having a real estate-type business with a street-level location.
But beware, creating a real estate business that competes with the offices of different franchises in your area is not easy. You need a vision of the future and have a solid business plan.
To have a thriving business you need quality real estate training that shows step by step how to attract and how to sell.
Do you know how $ 100,000 is made in this sector in just 1 year? I'm going to do the math for you: I sell 3 properties a year for + $ 1,000,000 dollars at a 3% commission. We already have $ 90,000. I sell 6 properties a year for approximately $ 400,000 at a 3% commission. We already have another $ 36,000. And finally I sell 5 properties a year for about $ 150,000 at a 3% commission. We already have another $ 22,000 dollars with the vein of 14 properties a year. Now you subtract 25% of expenses and you will see how the accounts turn out. Now is when you have to subtract taxes.
There are many independent real estate agents in almost every country who are earning much more as freelancers than working for a franchise or owning a real estate franchise. No, the real estate franchise is just an alternative to enter the real estate sector and have a secure income while doing your job.
In summary, before becoming a franchisee, choose the type of franchise well. If the investor to be made is small, it is better not to choose it. the best franchises do their thing and require an entrepreneurial spirit on the part of the franchisee. Rent that you prefer not to take as many risks as an enterprising real estate agent who wants to start a business from scratch or does not have the money to be a franchisee. But you know, the higher the risk, the higher the profit
If you want to become a real estate agent, working for a franchise is an option, as is working for a real estate agency. However, do not get confused and do not be influenced by the brand image of a franchise.
You are going to work in a franchise office that does have the brand and is supposed to follow a winning method, but it may not be properly managed to allow you to prove your worth.
