Yesterday, I spoke to a solo agent who works for a traditional split-commission broker who did 65 transactions last year.
She’s not really operating as a team but does employ two full-time assistants who enable her to execute at this level.
Like most agents, she leverages various tech solutions to create efficiencies, but what sets her apart from her peers is her talent, mindset, and focus.
Is this the new normal in real estate?
We know that transaction volume has fallen from a high of 6.5M transactions/year to less than 4M in 2023.
I can’t tell the future, but many believe the market will not return to its previous highs for quite a while.
So, the competition to capture the reduced number of transactions is going to continue to be intense.
Who’s going to win?
Those organizations with capable agents who can capture more business than their competitors.
Who’s going to lose?
Those who hire and retain agents who can’t capture business in today’s competitive environment.
How Do You Get in the Winning Group?
First, recognize the existing talent pool is not that great–49% of agents did one or zero transactions in 2023.
But there are some agents in the industry who are capable of making the transition to the new normal.
These individuals need to be connected to leaders who can inspire them to compete and win in the new normal.
The leaders who relentlessly focus on per agent productivity and stop accepting excuses for poor performance will win.
Second, there will be an influx of new talent from the outside.
The thousands of order-takers who joined the industry with their covid money in the last few years need to go.
There is no place for them in the new normal.
But here’s a fact: Every high performer started as a new agent at some point in time.
And a high number of tomorrow’s top performers are starting their careers right now.
Why? Because they’ll be learning real estate in the crucible of difficult times.
This happened during the last downturn, and it’s going to happen again.
The new normal is upon us.
Are you ready to compete for the next generation of talent?
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PS. If you need some help building the sourcing, systems, and selection tools to capture the next generation, let’s start a dialog. We’ve helped hundreds of organizations improve their recruiting results, and we can help you too.