November 11, 2024
The real estate industry is undergoing rapid transformations, especially in the realm of agent recruitment and retention. As we move towards 2025, understanding the dynamics of these changes becomes crucial for every real estate business owner. In this blog post, we delve into the insights shared by Mark Johnson, managing partner at Recruitment Insights, during his latest appearance on the “Rethink Real Estate” podcast hosted by Ben Brady.
During the podcast, Mark Johnson emphasized the importance of distinguishing between recruitment and attraction within the real estate sector. Recruitment should be viewed as a proactive approach, targeting agents who align with a company’s business model and ethos. On the other hand, attraction is about creating an environment where potential recruits see a fit for themselves within the culture and operational style of the business.
Mark Johnson explains:
“Recruiting is kind of like hunting… But attraction is letting them come to us, which might involve events or showcasing our culture so they can see themselves fitting in.”
This distinction is crucial as real estate businesses plan their growth strategies amidst evolving market conditions.
The podcast also highlighted the critical role of agent retention in maintaining a stable and productive real estate business. Johnson pointed out that August witnessed the lowest turnover rates in five years, attributing this to a greater level of engagement between brokerage leaders and their agents due to market uncertainties.
Johnson notes:
“If you’re not growing, you’re dying… Birth, death, divorce, relocation—there’s always movement. Protecting your real estate of attention must be a priority.”
These insights underline the necessity for continuous engagement and communication within teams to foster loyalty and reduce turnover.
Broker support emerged as a key factor influencing agent satisfaction and retention. The discussion revealed that agents are increasingly valuing accessible and responsive brokerage support, which confirms their decisions to stay or switch agencies.
As Johnson articulated:
“Broker support was universally valued among agents we talked to, even more than fees. Agents want to know they have reliable guidance available when needed.”
The conversation also covered effective strategies for recruiting in today’s competitive environment. Johnson stressed the importance of using sophisticated conversational techniques to uncover what agents truly need and want from their brokerage.
Effective questioning, according to Johnson, can reveal deeper insights:
“Ask, ‘How could your current broker better support your growth?’ It’s a non-judgmental way that encourages agents to open up about their real needs.”
Looking towards 2025, Johnson shared an optimistic outlook for the real estate industry, predicting an increase in transaction volumes and opportunities for both seasoned and new agents. This projection is supported by the anticipation of market normalization and potential economic stimuli affecting the housing market.
The insights from the “Rethink Real Estate” podcast with Mark Johnson provide valuable lessons on the importance of adaptive strategies in recruitment and retention. As real estate professionals navigate these challenging yet exciting times, understanding the nuanced differences between recruitment and attraction, and enhancing broker support are pivotal strategies for success.
By embracing these strategies, real estate businesses can not only survive but thrive in the evolving market landscape. Join the conversation by sharing your experiences and strategies in the comments below or on our social media channels. Let’s rethink real estate together!