The Three-Step Guide To Starting a Real Estate Brokerage

If you are a bootstrapper with a tremendous work ethic and can work smartly to bring out the very best in other real estate agents, then you should consider starting a real estate brokerage.

To start this journey, you will need to take note of the following steps: ask yourself if you are ready, create a business plan, and establish lead generation strategies.

Before diving in, here is one important question you should answer.

How many years have you been in the real estate industry?

– Just started

– 2 years

– 6years or more

Whichever category you fall into, it is very important you answer this question to help position you in the best place for maximum and tailored made benefits.

1. Ask Yourself If You Are Ready and Why?

Just like many other startups, starting a brokerage means you will be taking a massive risk for a potentially huge reward. You need to be ready to put in the work and make a lot of financial sacrifices. Hence, you should weigh the pros and cons before jumping in.

Let us take a look at some benefits and downfalls of brokerage


– Being your own boss

– Higher earning potential

– Hiring own staff/agents

– Flexibility to call the shots


– Investment of time and efforts

– Potential losses and huge expenses (especially in the beginning)

– Managing others’ time and workload

– The failure of the business is on you

Sincerely, not everyone is cut out to be a broker-owner and this is why you should ask yourself some questions before taking new steps towards being your own boss.

It is important to answer the following questions honestly: are you a leader or a boss? Do you need to be in control at all times? Are you well organized? Do you have connections in the real estate industry? Do you have strong communications skills? Do you want a partner? Why am I taking on this challenge?

If you do not take a careful look at your strengths and weaknesses, you could lose a lot of money and possibly destroy your real estate reputation even before you start.

2. Create a Business Plan

In real estate, a business roadmap is also called a business plan. To give your brokerage the best chances of success you must decide on a business plan from the start. The business plan will help you layout all your goals and separate them into long- and short-term goals with a clear strategy on how to achieve both.

The business plan must include a mission and vision statement to help motivate your employees and other stakeholders. The

The company’s name is also important. Ensure you carry out a check with the registration body (CAC) to confirm if your preferred name is available and complete the legal process of full acquisition of the name.

Other vital aspects of your business plan are: target market and branding strategy, a unique selling proposition (what differentiates you from your competitors), financial plan, and, lastly, online and offline storage for your legal documents

3. Establish Lead Generation Strategies

Most agents have discovered various organic ways to generate a lead, some even have an established number of contacts they can count on for referrals. However, as a broker, you will be required to support your old and new agents with additional sources of leads.

Some real estate companies help to generate leads and connect people. They help to identify potential buyers and sellers that might never have met by themselves.

One of such companies is BuyLetLive, which provides a very accessible online platform where buyers, sellers, and agents connect to purchase, sell and rent their dream homes.

Do not let anyone tell you otherwise, starting a real estate brokerage, is a difficult task that requires a lot of dedication, long hours, and some massive risks.

However, the returns can be beyond your wildest dreams.

By planning, setting goals, and solidifying foundations, you are putting yourself up for success as a broker-owner.

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