Franchises vs. Independents

There will always be discussions and comparisons of agents that belong to large franchised firms and agents that belong to independent firms.  As an independent broker that formally managed a Coldwell Banker branch office and owned two RE/MAX franchises during my first 10 years in the industry, I feel I am qualified to debate the topic with clarity and competency.

In years past, prior to the internet, it was important for agents to belong to large franchised firms so that their listings would get the most exposure.  Listings were kept in large MLS books that may or may not have been updated, regularly, and firms always tried to show potential buyers their own listings. 

After the internet, it was still important for agents to belong to large franchised firms because basically the firm’s web sites simply replaced the listing books; but updating and other office listings were still few, if any, and the large firms had the most listings. 

However, a few years ago, many MLS’s such as HAR and most real estate firms became a part of IDX (Internet Data Exchange) which changed everything!  Now, when an agent enters a listing in HAR, regardless of what firm they belong to, it is automatically seen on thousands of web sites – like REALTOR.com, Zillow, Trulia, Homes.com, etc.!  For example: as an independent broker, when I enter a property in HAR; it can be seen on the same thousands of web sites as a large franchised firm’s listings – AND, it is also  seen on most of the large firms web sites,  as well; such as Coldwell  Banker, RE/MAX,  Keller Williams, Better Homes & Gardens, etc.  As long as the firm, and most do, participates in IDX technology.

Therefore, no longer is belonging to a franchise a highly important criteria when a potential buyer or seller is looking for an agent or broker to represent them; what is more important is competency, character, trustworthiness, and capability.

For agents however, there are some definite times in their career when they should seek to join a large franchised firm; especially if they have been in the business for less than five years.  Large firms can offer valuable training and guidance that I feel our industry should manage more closely.  Another area I feel extremely confident in discussing; mainly because I mentored, coached, and trained a large portion of the successful agents in the Southwest Fort Bend County area.

 

For more commentary from Julius, pick up a copy of his book entitled “The Truths and Myths of Real Estate” – available at LuLu.com at:  http://www.lulu.com/shop/julius-zatopek/the-truths-myths-of-real-estate/paperback/product-21118216.html