Interviewing a Sponsoring Broker
To be a real estate agent in Texas, you must be sponsored by an established broker. When seeking sponsorship, it is important to choose a broker that will be a good fit. We recommend asking the below questions during the interview process to determine if the broker will be right for you.
Need help with potential sponsoring brokers? Try these questions!
Do you provide training?
- How many days or hours of formal training?
- Is there a cost to me?
- If so, how much?
- Who will be available to help me after the training?
- Is that person easily and readily available to me?
- What other "hats" does that person wear?
Do you have a mentor program where I can shadow a top producer for a period of time?
At what commission split will I begin?
- Do you offer a graduated commission split that pays me a higher percentage as my production increases?
- If so, let's say I reach 60%. Do I go back to my original split at the end of a designated period?
- May I have a copy of the commission schedule?
Do you have any bonus programs such as in house sales, exceeding goals, recruiting other agents, etc.?
What costs will I incur?
- Initial: licensing, application, business cards, photos, name badge, dues, etc.
- Ongoing: monthly or quarterly charges such as desk fees, franchise fees, phone bill, etc.
- Per listing: sign, lock box, advertising, etc.
- Per sale: error and omission insurance
In which publications do you advertise?
- How often?
- Who pays for it?
- Who determines which listings get advertised?
- Who writes the ads?
Do I need specific liability insurance on my automobile?
When will I start property time?
- What is the minimum amount per month?
- Maximum amount per month?
- How many hours per shift?
My choices of farm areas are:
- 1st choice: _______________________
- 2nd choice: ______________________
- Are either available in this office?
Will I be allowed to hold other agents' listings “open” to attract buyers? If so, how soon?
Do all of your full time agents farm a territory?
How do I get a protected territory?
What marketing materials are available to me? Please show me examples of the following materials:
- Just listed
- Just sold
- Just participated in a sale
- Door hangers
- Free market analysis
- Brochure of the company
- Company letterhead
- Legal-sized, pre-printed shells for flyers
- Letter-sized, heavy shells for color brochures
- Web pages
- Prospecting tools
Which marketing materials does the brokerage pay for? Which ones will I be responsible for?
Who pays for postage? (bulk and individual)
Do you receive a company policy manual? Will I have a copy if I sign on with you?
How many full time agents do you have?
- How many do you want?
- How many part time agents do you have?
- What is the agent turnover rate?
- What is the average tenure of agents?
What was your gross volume of sales last year? Average per full-time agent?
How many computers do you have available to agents? Do I need to purchase my own computer and software?
Do I have to pay for my board MLS training?
Would clerical assistance be available to me, such as with monthly mailers, letters, flyers, listings, etc.?
Do you have a full time receptionist?
- When will I be given one?
- After I am eligible, how many can I expect per quarter, assuming I prove I can do a good job with them?
- What are the sources for referrals?
- Approximately how many referrals do you give the agents per month?
- Do you have a relocation department?
How many listings does the office have?
- What is the normal amount?
- How many is that per full time agent?
- What is the average list price of the listings?
- What is the average sales price of the office?
- What percentage of listings are sold in-house?
Regarding market share, where does this office rank compared to other top companies in the area?
What is the average income per year of full time agents in this office?
Does this office have a focus on teamwork, or does each agent operate pretty well on their own?
What is your definition of full versus part time agent?
Do you hire part time agents? If so, what do you expect from them?
Do you have a commercial department?
- Do you do property management?
- Will I receive referral fees from a business I may refer to?
- Do you have in-house loan offices?
What is the policy on bonuses received on a sale I make?
- Do I get the total amount, or is it split with the company?
- If so, at what split?
What is the policy on referral fees I receive from sending outgoing referrals?
- Is it split with the company? If so, at what split?
In understand I will be working as an independent contractor, and that your contributions are limited by that status. However, some companies offer perks such as availability of health and life insurance, retirement, and other benefits. Does your company offer anything along these lines?
Will I have a working partner?
What commission does your company charge a seller for selling a home?
- What commission do you charge for undeveloped land or lots?
- Do I have the authority to list for less commission under certain circumstances?
- If yes, what are those conditions?
- Could I list it for more?
Do you have weekly sales meetings and property tours?
- What day, time, and how long do the meetings usually last?
- Could I attend a sales meeting before I make a final commitment to come on board?
What are your office goals?
- Do you have expansion, move of office, or growth in your immediate plans?
What special rewards could I expect if I become top producer of your company?
Will I be reimbursed for expenses of my initial classes/training?
What is the business dress code for this office?