This came up in a private discussion, but this piece of the pizza is a matter of interest for all Realtors. Ready?
GET YOUR FROLICKING BROKER’S LICENSE!
I don’t think I’ve ever said this in public, but I promise you it’s an oversight that should have been obvious all along.
Everything Bloodhound is about being as independent as you can possibly be.
That doesn’t mean you don’t engage with other people. What it means is never being in a situation where you have to put up with other people, whether you like it, hate it — or you want to kill someone because of it.
GET YOUR FROLICKING BROKER’S LICENSE!
A favorite game of dipshits who flitter into BloodhoundBlog is to pretend that they don’t understand what I am talking about when I deride vendorsluts.
Here’s a definition that will do no good at all: A vendorslut is a sleazoid who takes your money and gives you next to nothing in exchange for it — usually while binding you to an outrageously unfair contract.
And by that definition a huge number of real estate brokers are vendorsluts. Their entire business model is based not on selling real estate but on milking wide-eyed real estate agents for every penny they have, then dumping them as soon as they’re all milked out.
I can hope that no one reading this is some venal broker’s sucker, but that con-game is baked in the cake.
For that reason alone, you should:
GET YOUR FROLICKING BROKER’S LICENSE!
Obviously, I believe that your best move is to up your own organization, to turn your practice or your team into your own brokerage instead.
But even if you choose to work as an associate broker, having your broker’s license gives you options.
Yes, your legal liability increases, but, as with all advanced education, having your broker’s license brings with it significant marketing advantages.
And if your own designated broker moves on or gets sick, you have the legal qualification necessary to move into the big boss’s chair.
Perhaps more importantly, with a broker’s license, you are a bigger threat, should the big boss get the idea he might want to sever you.
And, recalling that your broker can sever you at any time, with or without cause — think for a moment what you would do if that should happen. You can’t work until you get someone else to hang your license.
But if you have your broker’s license, you can register yourself as a self-employed broker in no time flat.
Even so, you’re still screwed with respect to your open escrows, which is why you should have become your own broker or brokerage a long time ago.
The reasons for getting your broker’s license as soon as you can are many and persuasive. There is no reason not to do it. So:
GET YOUR FROLICKING BROKER’S LICENSE!
Ryan Hartman says:
Ok…will get the frolicking fracking license. How much for a Bloodhound franchise?
March 14, 2009 — 9:24 am
Missy Caulk says:
I have had my Brokers License since 2001 for many reasons.
I choose to be at Keller Williams at this point for many reasons, some of which you mentioned.
But, I am ready if the need be. Personally I like many of things a things franchise affords me. I also don’t want to do all the book keeping required by being on your own. Just does not appeal to me.
I know you’re thinking I could hire an assistant to do all that but I have an assistant for my team and she if busy with our contracts.
March 14, 2009 — 9:37 am
Greg Swann says:
> I know you’re thinking I could hire an assistant to do all that
Not my business. All I’m talking about is having options, being prepared in advance just in case.
March 14, 2009 — 10:26 am
James Malanowski says:
Amen brother. I should have done it years ago and I am now regretting it.
Just a couple more classes …
March 14, 2009 — 10:05 am
Jeff Brown says:
Been a broker since I was 25. Though I’d not ever quibble with those wishing to remain agents, the options menu is so much more diverse as a broker, it makes sense to have just ‘cuz.
Even if you’d never open your own operation, your clients will look at you a little differently. Trust me, it helps.
March 14, 2009 — 10:16 am
Greg Swann says:
> your clients will look at you a little differently.
Check. And they treat you a whole lot better down at the Board of Realtors.
March 14, 2009 — 10:23 am
Tony Sena says:
Funny you should say that, I am studying for my broker’s license as we speak. I am planning on taking the test either late next week or earlier the following week. Once I have it, I’ll be working on setting up my own virtual real estate brokerage 🙂
March 14, 2009 — 10:27 am
Jeff Brown says:
“And they treat you a whole lot better down at the Board of Realtors.”
There is that. 🙂
March 14, 2009 — 10:31 am
Missy Caulk says:
Gosh I have been a Director on the Ann Arbor Board of Realtors starting my 7th year. I’ve never noticed Brokers being treated better. Matter of fact, we go out of our way to make sure agents from small companies are well represented.
I guess I don’t understand what they statement means, care to clarify.
March 14, 2009 — 11:47 am
Greg Swann says:
> care to clarify.
In Phoenix, if you are a designated broker, at least, you sit well above the salt. I am amazed at how much easier it for me to get things done — and we could not be any smaller and still be “we.” Don’t know why it makes a difference, but it does.
March 14, 2009 — 3:13 pm
Jessica Wynn Horton says:
My brokers license is the ONLY designation that I give a flip about.
March 14, 2009 — 12:24 pm
Scott Cowan says:
Excellent advice for everyone who is an agent. One thing you did not mention is the security your brokers license offers you when the brokerage you are working for closes the doors without notice. It happened to me last year and it was not pretty. Having my brokers license at that time would of made things a bit easier to manage.
Another point is that in Washington State if you choose to open your own brokerage you don’t have to join the NAR. I myself think that is a major reason to have your brokers license!
March 14, 2009 — 3:12 pm
Jay Thompson says:
Greg said: “And they treat you a whole lot better down at the Board of Realtors.”
Unquestionably true. “Hi this is Jay Thompson, broker/owner with Thompson’s Realty” is an opening with boards and associations that actually gets results. And I’m pretty frolicking sure it’s the “broker/owner” part that gets their attention.
Jessica said: “My brokers license is the ONLY designation that I give a flip about.”
It’s my only “designation” period, and I’m pretty sure it’s the only one that John Q. Public even remotely understands or cares about.
Sadly, at least in Arizona, the Broker classes are really just a re-hash of the sales licensing classes — including the constant references to “This will be the answer on the test, but this is the real-life answer”. And the exam is as big a joke as the licensing exam. I think I spent 30 – 40 minutes completing it out of my allotted 3 plus hours. And it only took that long because I went through the tests twice thinking I’d done something horribly wrong after finishing in 20 minutes.
None-the-less, I’m glad I did it and can truly work for myself…
March 14, 2009 — 3:16 pm
Tina Fountain says:
I certainly agree, I got my brokers license and opened my own brokerage 2 years ago. It’s the best decision I ever made!
March 14, 2009 — 3:45 pm
Betty Saenz REALTOR®, EcoBroker® says:
I’ve been a licensed REALTOR for over 10 years now. I have no desire to become a broker just yet. My split is great and we learn a lot at Sky Realty in Austin. None-the-less many people want and do well getting theirs.
March 14, 2009 — 8:29 pm
Geno Petro says:
Thanks for the nudge.
March 15, 2009 — 7:38 am
Ken brand says:
Yeah, I need to hit that. Thanks.
March 15, 2009 — 9:55 am
Jennifer K Giraldi says:
Great advice! New agents need to read this so they can set this as a goal early in their careers.
March 15, 2009 — 1:20 pm
Faina Sechzer says:
I am planning to study for the brokers license this year -having more options is always better. I always wondered if it’s the requirements and/or liability that stops agents/brokers from going on their own.
March 15, 2009 — 1:21 pm
Ashlee says:
I got my broker license Oct 2008. I was tired of paying my old broker all kinds of money and they did hardly anything! I did all the work and had to give her my money! I currently have 5 agents under me and they love it. They are all encouraged to continue their education.
March 15, 2009 — 1:35 pm
Joshua Hanoud says:
I have a great broker who charges next to nothing provides office space/computers/faxes/scans/copies/etc when I need it, and he’s always available when I have a question. I seem to be a minority in that sense.
I’d like to get my broker’s license at some point – but for me (and in my particular situation) it seems more like a “yay, I’m a broker!” thing than a necessity.
Of course I’ll bite my tongue and kick myself if he goes out of business overnight…but I got a pretty good thing goin’ in the meantime…
March 15, 2009 — 6:14 pm
Louis Cammarosano says:
Greg
This makes 100% sense. The brokers license should be an indespensible designation for any serious agent.Having it gives the professional the choice to control one’s career. If you have your license you can chose to work for a broker, but can switch easily if your circumstance changes.
March 15, 2009 — 6:40 pm
Jim Lee says:
In Tennessee the only advantage I can see to having a broker’s license is that you can own your own company.
Having owned companies and met payrolls before I have no desire to do that again.
There’s a reason they’re called ‘brokers’; what I want to be is a ‘richer’. 😉
As far as being treated better at my board I’ve been board president and Realtor of the year so I have never had any treatment complaints and feel qualified to handle them if I ever have any.
I work for a 100% commission company and my broker does not much care what I do as long as I pay my modest monthly office bill.
If you’re a competent, producing real estate licensee you can hang your license with most any broker you choose.
You guys be the brokers; I’m sticking with what works for me.
March 15, 2009 — 9:00 pm
Sean Purcell says:
Ashlee,
I was tired of paying my old broker all kinds of money and they did hardly anything! I did all the work and had to give her my money! I currently have 5 agents under me and they love it.
Congratulations! It sounds like you learned a lot about what to do and what not to do as a broker. Please share what you are doing that’s making your agents love you so much. The learning here never stops…
March 15, 2009 — 11:54 pm
Petra Norris says:
I agree, everyone who is qualified should get their brokers license immediately. How you are using, whether you go out on your own or just in case you get the boot, should be at your own discretion. This is your insurance to stay in business on your own if it is necessary.
March 16, 2009 — 6:20 am
Eric Blackwell says:
Late to the discussion, but I totally agree.
We have quite a number of broker associates in our large RE/MAX brokerage. While I treat each exactly alike, I can totally understand yours (and Jay’s) points about how that plays at the Board.
Bottom line: I always think options are great things. I want agents to affiliate with our franchise because they are confident that we DO add value, not because they “gotta”.
Eric
March 16, 2009 — 7:38 am
James Boyer says:
Options are always great to have, and this is one of them that I intend to take. I have been in the business for 5 years now and never wanted any of the other designations, have always thought they were a big waist of time.
I will be getting my real estate Brokers License but not the other fluff offered.
March 16, 2009 — 1:22 pm
Shelley Tucci says:
I think any steps you take to better educate yourself helps you in the long run and gives you options, whether you use them or not.
March 19, 2009 — 7:44 pm