How Is the Real Estate Commission Split?

Real estate commission is a key real estate term that refers to the fee paid to real estate agents for their services in facilitating the sale or lease of a property. Commissions are typically an agent’s primary source of income and are earned through the sale, purchase, or leasing of properties.

 Commission split between agents in the transaction: The total commission is usually a percentage of the sale price or rental fee, agreed upon in the listing agreement between the seller or landlord and the listing broker. This percentage can vary significantly based on location, property type, market conditions, and the type of transaction, usually ranging from 2% to 6% for sales and often one month’s rent for leases. The commission split agreement between agents varies depending on the listing agent’s agreement with the seller.

Commission split with brokerage after the transaction: After this initial commission split agreement between buyer and seller agents of the total commission, each agent further divides their share of the commission with their respective brokerages. This real estate agent commission split with brokers will occur according to their contract terms. These brokerage splits can also vary widely and are influenced by factors such as the agent’s sales volume, experience, and negotiated terms with the brokerage.

Side note: Dual agency can occur when a single agent represents the buyer and the seller in the same transaction. In such cases, the agent involved does not need to split the commission with another agent. This type of agency can increase the earnings for the agent, as they retain the full commission agreed upon in the listing agreement. However, you must disclose the dual agency to all parties. You also must have the explicit consent of both buyer and seller in writing, as it can raise concerns about conflicts of interest and the agent’s ability to negotiate fairly on behalf of both clients. 

Commission Split Calculator

Use The Close’s commission split calculator below to quickly calculate your take home money!

Types of Real Estate Commission Splits

Real estate agent commission splits determine how earnings from property transactions are divided between agents and their brokerages. These splits can vary significantly, reflecting different business models and individual agreements, and play a crucial role in shaping a real estate agent’s salary, financial success, and career satisfaction. 

Each split model has benefits and challenges for real estate agents tailored to fit various experience levels, performance, and market conditions. Here are some common types of commission splits that agents encounter in the industry:

• Fixed percentage splits: This is one of the most straightforward models where the real estate agent and the brokerage split the commission based on a fixed percentage agreed upon in advance. Common splits include 50/50, 60/40, or 70/30, where the agent receives 60%, 70%, or more, depending on the agreement with their brokerage.
• Graduated splits: In this model, the split percentage changes based on performance criteria such as sales volume or revenue milestones. For example, an agent might start the year at a 50/50 split but could move up to 60/40 after achieving a certain level of sales, providing an incentive to exceed sales targets.
• Cap system: Some brokerages implement a cap system, requiring agents to contribute a set amount of their commissions to the brokerage until they reach a predetermined cap within a year. Once agents reach the cap, they may keep 100% of their yearly commissions. This model is particularly appealing to high-performing agents.
• 100% commission plan: Under this plan, agents pay a flat fee to their brokerage per transaction or a monthly office fee instead of splitting the commission. This structure allows agents to keep all the commissions they earn, which can be highly beneficial for agents with substantial sales volumes.
• Team splits: Agents should understand how real estate teams split commissions before agreeing to join. Often used in team settings, this split involves distributing the commission among multiple team members, including the lead agent, junior agents, and sometimes administrative staff, based on their roles and contributions to the transaction.  

Who Pays the Commission?

The seller typically pays the commission in sales transactions. This arrangement is agreed upon when the seller signs a contract with a real estate broker during the listing process. The agreement stipulates that a specific percentage of the sale price will be allocated to the real estate agent or broker as a commission. This commission is shared between the listing agent and the buyer’s agent according to the pre-established commission split.

Agents should understand that although the seller pays the commission, the funds come from the buyer’s purchase price. Thus, the buyer indirectly contributes to the commission through the overall price of the property. This understanding can influence how agents approach negotiations and explain the process to their clients.

The payment structure in rental transactions can vary. The landlord usually pays the commission, often equivalent to one month’s rent. However, if a landlord does not offer a commission or it is lower than usual, tenants may be required to pay directly for the agent’s services. This scenario is more common in competitive markets or high-end rentals where personalized service is a significant aspect of the rental process.

How to Negotiate Your Commission Split

Once agents complete their real estate license and seek out a brokerage, they will receive an independent contractor agreement outlining their duties, responsibilities, and the specifics of their commission splits. As you excel in your career, you can negotiate this agreement to reflect your growing expertise, higher sales volumes, and enhanced market knowledge.

The real estate agent commission split with a broker significantly determines your income. Negotiating a favorable real estate agent commission split can substantially boost your earnings, allowing you to better reap the rewards of your hard work. Many agents will switch real estate brokerages if they feel their current terms do not adequately compensate them for their efforts. 

Negotiating terms with your brokerage isn’t just about demanding more—it’s about demonstrating your value, understanding the business norms, and crafting a proposal that aligns your interests with your brokerage’s. Here are strategies to help you effectively negotiate better terms with your brokerage:

• Know your worth: Before entering negotiations, assess your performance metrics, such as sales volume, gross commission income, customer satisfaction ratings, and contributions to the brokerage. Solid evidence of your success strengthens your case for a higher commission split.
• Understand market standards: Research the typical commission splits offered by other brokerages in your area. Knowing the industry standard gives you a baseline for negotiations and can help you argue for a competitive rate. Frequently, you will find many real estate agents have real estate side hustles in these down markets to supplement their income. This approach helps stabilize their earnings during slower periods and broadens their skill set. 
• Build a strong case: Prepare to present a clear and compelling argument to your broker. Highlight your achievements, continuous professional development, and how you’ve added value to the brokerage. Be specific about your goals and how a better split will motivate you to work even harder.
• Consider timing: Timing can be crucial. Approach your broker about a better split during times of success, like closing a big deal or surpassing your sales targets. Alternatively, annual reviews are natural times for such discussions.
• Offer solutions: Be prepared to offer solutions that benefit both the brokerage and you. For instance, propose a graduated split that increases as you hit higher sales targets or suggest taking on additional responsibilities in exchange for a higher split.
• Practice negotiation skills: Effective communication is key in negotiations. Practice your negotiating techniques, possibly with a mentor or colleague. Being calm, clear, and professional during these discussions can lead to more favorable outcomes.
• Be ready to compromise: While you should aim for the best possible terms, prepare yourself to find a middle ground. If a higher split is off the table, consider other benefits such as marketing support, leads, or better operational tools.
• Get everything in writing: Once you reach an agreement, document all details. This step protects both you and the brokerage and clarifies the terms of the new agreement.

What Factors Can Affect Commission Income? 

This commission rate varies significantly depending on geographical location and property type. For instance, in some cities, sellers might pay as little as 4% in realtor fees, while in others, the rates can climb to 7% for residential properties and even up to 10% for commercial real estate.

Location plays a critical role in determining commission rates in the real estate industry. Market conditions, average property values, and local competition all influence how much agents can charge for their services. Due to higher agent competition, commission rates might be lower in bustling urban centers. 

In contrast, higher rates may prevail in rural areas due to fewer transactions and the need for more extensive marketing efforts. Understanding the nuances of your local market is essential for setting realistic commission expectations and negotiating effectively with clients and brokerages.

Average Real Estate Commissions Across the U.S. 

Understanding the typical commission rates in the real estate market is crucial for agents to know what is a good commission split in real estate. Then, they can set competitive and realistic expectations for their earnings. The average real estate commission in the United States is between 5% and 6% of the property’s sale price, typically split between the buyer’s agent and the listing agent.  

Frequently Asked Questions (FAQs)

What is the typical commission split between agent & broker?

What does a 60/40 split mean as a commission?

How is a real estate agent's commission split with a broker?

Bringing It All Together

The real estate industry is about more than finding the right properties. It’s also about nailing the perfect commission split that makes every sale feel like a celebration! As you set off on this exciting journey, understanding and choosing your commission structure is as crucial as picking the right shoes for a marathon. With each transaction, your knowledge of commission splits isn’t just padding your wallet but also fueling your career growth and ensuring your efforts are recognized. 

Remember, the art of negotiation is your secret weapon. Whether you’re the fresh face on the block or the seasoned and successful real estate pro everyone whispers about, negotiating your commission split is your chance to shine. Show off your value, and don’t settle for less than you deserve. Brokerages come in all shapes and sizes, each offering a smorgasbord of commission options. Align yourself with a good brokerage that’s as invested in your success as you are. 

The post Real Estate Commission Splits: Everything Agents Need to Know appeared first on The Close.

Establishing a solid foundation for your brokerage is not just a recommendation—it’s the key to ensuring long-term sustainability. By understanding these nine potential mistakes on the brokerage management side, you can position yourself as a trusted broker and ensure the growth and viability of your new business. 

1. Lack of Proper Market Research  

Do you understand your target market and how are you going to reach them? What is the demand for your services? Who is your competition? 

If you open a brokerage, these are all questions you need to answer in order to reach your target demographic and succeed. A great reputation as a Realtor doesn’t necessarily translate to a successful brokerage, especially in the beginning. I quickly learned that most people won’t hang their hat on a maybe!  

How to Avoid This Mistake 

Understanding your target market is the first step to success. Dive into thorough market research to identify your audience, assess demand, and comprehend your competition. Being a top producer in your area is an asset, but translating that into a successful brokerage requires a clear strategy tailored to your target demographic.  

When I opened my brokerage, I drove through town and did a thorough evaluation of my competition. At the time, there was nowhere that aligned with the way I wanted to do business. In essence, I created my own solution, and that allowed me to be different and stand out.

2. Poor Business Planning & Financial Management                                   

I don’t doubt that you understand that starting a brokerage takes a significant financial investment. But many new broker-owners still manage to underestimate how long it will take to start bringing in consistent income. It is crucial to have a contingency plan for slower-than-expected startup or even a market shift that could prolong your projected trajectory.  

How to Avoid This Mistake 

Secure your future. Never let yourself forget that launching a brokerage requires a significant financial investment, and success might not happen overnight. Develop a comprehensive business plan that not only factors in financial investments but also considers the time it takes to start generating consistent income. After you create your ideal business plan, create a secondary contingency plan that takes into account slow starts or market shifts.

3. Inadequate Legal Compliance 

No one needs a lawyer until they need a lawyer! Legal issues may seem distant, but having a legal partner who understands them on your side is crucial. Also, as a broker-owner, you’re taking on a lot more liability than you ever did as an agent.

A lawyer is your best business friend—mine literally is my best friend! My lawyer is also a real estate broker, and as both a lawyer and practitioner of real estate, we together were able to successfully navigate many difficult scenarios.

How to Avoid This Mistake 

Not all lawyers are created equal, so do your research and find a good partner in a real estate attorney to help you navigate legal issues as they arise—and they will. I suggest finding a lawyer who is also a practitioner of real estate and someone who understands your market along with your local boards and how they operate.

4. Failing to Expand Your Leadership & Management Skills   

Most broker-owners are the highest selling agents in their areas. But being a top producer is often a whole different skill set than running a real estate brokerage. If you are looking to truly grow the brokerage, you will likely need to step out of the top producer role and into a full-time broker management role. Be watching for when that shift starts to come. 

How to Avoid This Mistake 

Recognize the point at which you need to step into a full-time management role to truly grow your brokerage. For me, that point was about 3.5 years in, where I didn’t need my sales to support the brokerage functions. It is often a hard shift to make for yourself financially, so make sure you are ready to make that leap.

But before you make the leap, ensure you have what it takes. Transitioning with grace from being a top-producing agent to a broker-owner requires a shift in skills. Learning to balance leadership and management is key to fostering a thriving, collaborative environment.

The Close Recommends

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5. Not Mastering the Intricacies of Real Estate Contracts 

I know it seems like common sense, but alas, I run into brokers all the time who do not have a real understanding of the contracts underpinning their business. The majority of questions you will field from agents will be contract-related and it is important to be able to advise them correctly to avoid legal complications.

How to Avoid This Mistake 

I love contracts! As a continuing education instructor, my favorite class to teach is our three-hour contract class. I pride myself on the fact that seasoned agents walk away from my class with a new understanding of contracts that they didn’t have before. Let’s take it a step further: Get yourself certified as an instructor so you can keep your agents educated and keep yourself in front of your agents providing value. 

6. Failing to Prioritize Networking & Relationship Building   

Relationships—whether we’re talking clients, fellow brokers, or other professionals in the field—are the backbone of the real estate industry. For me, building trust with fellow brokers was something of utmost importance as I built my brokerage. It paved the way for my agents to have successful transactions. Upholding a high level of professionalism and integrity will build your reputation and foster trust with clients and colleagues.

How to Avoid This Mistake 

You will feel pulled in so many directions in the beginning. But if there’s one thing I attribute to my success, it’s jumping into anything I could to get involved in, community-wise. Follow your passions and do what you can to give back, and it will come back to your brokerage tenfold.

7. Not Devoting Enough Resources to Marketing & Branding 

Remember—branding isn’t just your brand colors and logos, but much more. It is the essence of your values and philosophies and how you do business. Your branding should tell a story about you!

How to Avoid This Mistake 

Develop a robust online presence through a professional website and social media platforms. Invest in marketing strategies to showcase your listings effectively and build that online resume for the future of your business.

The Close Recommends

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8. Neglecting Technology

Embracing technology is vital for real estate agents. They are drawn to technology that will help them do their jobs better and more efficiently and edge out their competitors. You can look at this as part of agent recruiting and retention.  

How to Avoid This Mistake 

You must be prepared with tools, brokerage software, and online platforms. And you may have to look to other teams and companies to see what you’re missing. As I transitioned out of brokerage ownership and took my team to a large brokerage, I realized that—while I had indeed invested in good tools and we were thriving—there was much we were missing. Now that my team has these new tools, I see that we have an even bigger edge today thanks to the great technology they have access to.

9. Failing to Adapt to Market Changes 

Real estate is dynamic and ever-changing. Markets fluctuate and challenges arise, but adaptability is your greatest asset. Develop resilience to navigate uncertainties and bounce back from setbacks. We are all feeling this a bit in our current market! 

How to Avoid This Mistake 

No one can predict the future. But you can be proactive about remaining relevant in your market and to your agents, ensuring your brokerage remains a dynamic force in the ever-evolving real estate landscape. Another element that can help you here is adopting the mindset of a lifelong learner. Stay updated with the latest trends, technologies, and legal changes through continuous education.

Cheers to You

Congrats on setting the stage for a successful, optimistic journey in the competitive world of real estate brokerage. Here’s to your thriving brokerage and a future filled with growth and success!

The post 9 Common Mistakes New Broker-Owners Make (+ How to Avoid Them) appeared first on The Close.

You’ll notice that I feel strongly that there are more pros than cons to being a real estate agent. That’s because I have found my calling in this career. But I also want to be open and honest that real estate isn’t for everyone. It takes hard work, grit, and passion. 

Pros of Being a Real Estate Agent

1. You Can Create Your Own Schedule

The most common pro I hear from people who are thinking about becoming a real estate agent is the flexible schedule. But if you think that creating your own schedule means less work time, I’ll be the one to burst your bubble and tell you that is not necessarily true. It does mean that you don’t have to clock in with your boss every single day from 9 to 5, Monday to Friday. You are your own boss, and this is your business, so you get to make your day what you want it to be. Unless you have a team leader or broker who is setting your schedule for you, you hold the power to create a schedule that will set you up for success. 

I have found it helpful to fill in my calendar a month in advance for the things that I can, and then fill in weekly for other things. For example, when I started a networking group, we committed that our meeting time would be the first Wednesday of each month. So I added this networking group meeting on my calendar for each first Wednesday of each month at 10 a.m. 

When I became a Realtor, I was advised to schedule at least 10 hours of lead generation activities per week. The flexible part is that you get to choose which days, what time of day, and what activities work best for you! Once you decide where you want your production numbers to be and set your weekly appointment goals, you may want to increase this amount of time. 

You will also want to block availability for appointments and showings. Of course, if you have a client whose schedule only allows for times outside of what you have on your calendar, then you may need to adjust this later. Depending on the market, you may have to rearrange your other activities in order to go show them a home right when it hits the market. If your personal or family schedule doesn’t allow for this type of flexibility, then you can consider hiring an assistant or partnering up with other agents.

2. Being a Realtor Is Rewarding

This is my personal favorite thing about this career, and it makes all of the cons not seem so bad! I have never felt so rewarded doing anything else in life (except being a mother). Helping people achieve their real estate goals is truly incredible. You get to guide them in becoming their own hero—how cool is that?!

If you are a people lover and have a naturally encouraging personality, you will find a lot of joy as a Realtor. My daily goal is to try and help at least one more person, and the money will follow. 

3. Low Financial Commitment to Begin

Compared to the money that you can potentially earn being a real estate agent, the initial investment in order to get your license is pretty low! I’m licensed in Texas, one of the more demanding states in terms of prelicensing education. Even still, you can get your license here for less than $1,000. In states with fewer prelicensing requirements, such as Florida, Massachusetts, and California, you might only spend a few hundred dollars.

I personally used The CE Shop to get my license because it was all online and self-paced. They are always running great discount deals, especially during holidays and end of year. I was able to pay around $300 for all of my prelicense courses!

If you become a part of the National Association of Realtors (NAR), you will pay a separate membership fee. This will also be under $1,000, but will depend on the time of year you join.

Keep in mind that this is an investment in your career, and the opportunities to earn a substantial income as a Realtor are endless. You can work as much or as little as you’d like, all depending on what your goal income is. I’d also like to share that I did personally make the money I spent to get my license back after my first closing. So if I did it, so can you!

4. Endless Niche Possibilities

On top of the virtually endless income possibilities, the categories of real estate niches you could focus on are plentiful! Think about your hobbies and areas of interest. You can also make your focus an area of your town or city, or even a specific ZIP code or neighborhood. How great is it to be able to focus on the community you personally live in?

And it’s not just geographic niches either. You could just work with sellers if you wanted to, and have a teammate or partner who handles buyers. Or you could focus on working with just investors, or just on commercial buildings, or just leases. Here are some other niche examples:

• Condos
• Townhomes
• Historic homes
• Modern homes
• New construction
• Fix and flips
• Retail centers
• Industrial
• High-rise buildings
• Rural areas
• The inner city
• Suburbs
• Specific school districts
• Vacation homes
• Rentals

When I became a Realtor I was in a position where I needed to start making an income pretty quickly. So I felt like I needed to work with anyone and everyone, and drive anywhere to do so. But if I had put all of my focus and energy into a specific niche or area, I could have saved myself time and money.

5. Giving Back to Your Community

I believe we should do more than just live in our cities and towns—we should help them thrive! Being a real estate agent gives you the perfect platform to do just that. 

I recently joined a program called Homes for Heroes that will allow me the opportunity to give back to the heroes of my community: active military members, veterans, law enforcement, teachers, health professionals, emergency workers, and firefighters. 

This is a nationwide program, so if this interests you, then you should look into it. But the possibilities are truly endless here with what you could do for your community. If you have children in school, or you’re a member of a club or church, you can partner with these organizations to make some great things happen!

Cons of Being a Real Estate Agent

6. Lead Generation Can Be Challenging 

There are many elements to lead generation, and not all of them will be cons. But at first, it may feel daunting and challenging! For example, the fun part of beginning my lead gen journey was reaching out to everyone I knew and making the announcement that I had passed my exam and I was officially a Realtor! But then what? Not everyone I knew was going to be selling or buying a house! So then the challenge became reaching out to people I didn’t know and telling them that I wanted to help them buy or sell a home. Would they trust me? And what’s the best way to reach out to people you don’t know?

This will also depend on the brokerage with which you associate your license. Some brokerages will provide training on lead generation—or even provide you prospects to pursue—and others will not. There are so many lead generation programs out there. The team I joined when I started already belonged to a few lead generation programs that we used to call leads. But I just personally have never felt comfortable with cold calling. I know it works—that’s why so many real estate agents find success from it. But over the last couple of years, I focused on other avenues of lead generation that feel more natural to my personality. 

Because I have a background in event management, doing event-based lead generation is fun for me! If you are a golfer, start talking to more people at the course. Or if you are a parent, join the PTA and meet new people who might need your services. Being a real estate agent is so much fun—I love people and pouring into others. Building relationships will build a business in the long term!

After you find some different activities that are working for you, be consistent! Don’t stop doing something if you don’t see immediate results, particularly with mailers or social media. These things take time, consistency, and a lot of patience to grow!

7. Cost of Running Your Business Could Be High

Earlier I mentioned that the cost to get your license was fairly low. On the other hand, there are other costs that come with keeping your license and running your business. When interviewing with different brokerages, it is important to ask about what they will charge you, like desk fees and signage fees. If you are on a team, these fees will most likely be included in the percentage of commissions they keep from each of your checks. 

Regardless of whether you’re an individual agent or on a team, you’ll end up spending quite a large amount on marketing. This includes photos, videos, templates, mailers, flyers, consultation presentations, door knocking items, client gifts, events, and more. 

The biggest downside to this is that you spend all of this time and money without the guarantee that you will make this money back. Of course, if you are putting in the work along with the marketing, then I’m 99% sure that you will make the money back plus some, but there is just no guarantee. 

In addition to marketing, you may spend a fair amount of time and money working with buyers who may never actually purchase a house. If they don’t buy a house, we don’t get paid. I’d honestly say this is the biggest con in my experience. The majority of my clients do buy a home, but this year I have personally experienced a few deals go wrong. So the time and money I had invested in those clients was not returned, unfortunately.

8. No Guaranteed Paycheck 

Not having a definite paycheck coming in month to month can be a huge stress factor in this career field. Yes, you can help eliminate some of this fear by having a plan of how much you need to make per month and backing it up with the actions you take to make sure you hit these numbers. But regardless of how much you plan, honestly, there will be deals that go wrong for reasons completely out of your control. You don’t want this to put you in a terrible financial situation. Always have savings and some cushion in your account for these times. 

There will be ups and downs—slow markets and lucrative markets. I’ve experienced months with no closings, and some months with seven closings. The key is to not feel financially stressed through these ebbs and flows.

I went quite a few months before my first closing when I became a Realtor. Once I started saving a portion of each commission check and reached my expenses goal, my stress level decreased substantially. When I wasn’t stressed about the next closing anymore, I noticed my business growing even stronger. I could walk into a consultation with more confidence and less fear of rejection.

9. Dealing With Rejection Can Be Tough

Especially if you have never been in sales, hearing the nos can be quite challenging! Honestly, even after five years, it’s still not fun. Rejection is tough. You will get hung up on when making cold calls and even rude responses when texting people you don’t know. You will go on many consultation appointments, and you won’t end up working with every one of those people because they choose to work with another agent. It’s also tough when you submit an offer for your buyer in a multiple-offer situation and the seller doesn’t go with your client.

That’s why I mentioned in the beginning of this article that being a real estate agent is not for everyone. You have to have grit and thick skin. 

It is all about learning how to let the nos go and then focus on getting the next yes. In the beginning, someone told me it takes 12 nos to get to the first yes. This helped me because I was already expecting to hear the nos.

Don’t get me wrong; I still would like to only hear yeses! I don’t think this part of being a real estate agent ever gets easier. But I do know you will doubt yourself less after some time goes by. You will gain more confidence and have peace knowing you did everything you could do.

Over to You 

After reading this article, if you are feeling like being a real estate agent could be your calling too, then leave me a comment below. I would love to hear from you and answer any follow-up questions you may have.

The post 9 Pros & Cons of Being a Real Estate Agent (+ Tips for Success) appeared first on The Close.

In this article, I will uncover the full list of the services that your brokerage may choose to provide, a detailed description of each, and the estimated costs so you can make the best decision for your brokerage. Starting with software and outsourcing is not a bad idea while you continue to grow. Let’s dive in.

Buyer & Seller Leads

In an agent’s world, prospecting is the name of the game. They’re hungry for leads, and as more companies provide them, that appetite seems to grow. Keep in mind that when brokers supply their agents with leads, everyone wins. With more leads to work, your agents should close more deals—and add money to your brokerage’s pocket. 

The game has changed nowadays to make leads more accessible (as long as brokers are willing to pay). However, the benefit of buying these leads directly is that you can also save money on marketing—just cut out the advertising middleman and buy the leads directly from a platform like zBuyer. 

Of course, it’s not as cut-and-dry as all that. Providing your agents with leads means that you’ll need to budget for them. You’ll also need to hold your agents accountable for the leads you provide—that’s a fine line to balance. By offering leads, you may be attracting more junior agents with less experience who may need more coaching and education. This balance is important in keeping your brokerage alive with seasoned professionals as well as the fresh new agents.

Why Smart Brokers Provide Leads

Your return on investment (ROI) on providing leads will be directly related to your training and accountability to the agent. Brokerages that do this well can see a three to four times return on their money. Additionally, there are a lot of talented agents who just need a little momentum in their business, which brokerage-supplied leads may provide.

Lead Generation Cost Breakdown

Of course, the cost of providing your agents with leads will vary depending on where your brokerage is located. But if you want to provide enough leads to attract and maintain motivated newer agents, then you should expect to spend anywhere from $10,000 to $100,000 per month on leads. Once you throw in a lead manager, you can expect to pay another $45,000 per year for their salary. Let’s review some of the top lead gen companies that brokers should be looking at:

Consistent Digital & Print Marketing

One of the most important lessons learned over my 28-year real estate career is that nothing is more important in an agent’s business than them getting their marketing out consistently. Despite all the systems and tools that are available, more than 80% of agents still fail to follow up with their clients after a sale—not even a postcard!

Brokerage-provided marketing services can include mailing monthly postcards to their sphere of influence (SOI) and farm area as well as helping agents with social media content and creating professional listing and buyer presentations. Your brokerage can provide marketing services through software, outsourcing, or, when you’re large enough, hiring a full-time marketing manager.

Agently offers a full AI marketing suite with thousands of real estate social media templates—including buyers, sellers, video marketing, listing marketing, open houses and much more. It automatically integrates your brand so you spend less time on social media. You can also track your productivity and enhance your communication with your broker. Check them out at the link below.

Why Smart Brokerages Provide Digital & Print Marketing

If you want to add a service that provides value and measurable returns in both productivity and profits, then taking over your agent’s marketing is the answer. Agent marketing will attract other agents, increase referrals and repeat business from your agents’ SOI, and—best of all—it helps maintain your brokerage’s brand image and standards.

Digital & Print Marketing Benefits vs Costs Breakdown

Coffee & Contracts is a real estate marketing company that offers thousands of social media templates designed specifically for real estate agents. This includes Instagram Reels, carousels, Broke Agent memes, and more. You’ll get access to fresh content and new options every month as a subscriber. You can get started with $15 off your first month with the promo code THECLOSE.

Listing Preparation & Marketing

This is a no-brainer if you’re trying to recruit listing agents. Many high-producing agents are good at lead generation and sales but can fall short when it comes to marketing and managing their listings.

That means you can take a big burden off their plate by offering to handle all the details of listing preparation, like cleaning and staging. You may also help them with marketing tasks like photography, video production, sign installation, MLS input, and promotion.

These services should be outsourced until your real estate brokerage is large enough to support a full-time listing manager. Be sure to negotiate volume discounts with your vendors to keep your expenses within budget. If you’re just dipping your toe into this brokerage service, I recommend looking into providing your agents access to a service like Apply Design, an easy-to-use virtual staging software that charges $7 to $10 per image.

Why Smart Brokerages Provide Listing Preparation & Marketing Services

Of course, these services will allow you to attract the right agents for your brokerage, but there are other benefits you may not be aware of.

Maintain Your Brand’s Image & Standards

This way, listing marketing will be up to the standards of your real estate brokerage and in line with your branding. No more cell phone pics, dark and blurry images, or real estate signs printed with the wrong colors or font. Just this by itself will attract image-conscious homesellers.

Listings Sell Faster & for a Higher Price

When your marketing is done correctly, you will attract more buyers, too. The more buyers who see your listings, the greater chance they will sell quickly and for top dollar, and this will make your agents look good!

Higher Splits & Fees

Believe it or not, many productive and top-producing agents are happy to pay their broker more for the benefit of having all the listing marketing done for them. This provides them with the confidence they need to go after luxury listings and gives them back more time to do what they love—making more sales!

Listing Preparation & Marketing Benefit vs Costs Breakdown

Transaction Management Services

If you have a highly accountable group of agents, then any task you can take off their plate will increase their productivity. Simply put: If your agents are chasing paperwork, they are not  generating leads. Transaction management is an easy and low-cost way to get some of those red-tape tasks off your agents’ schedules.

You can choose to offer this as an a la carte service, but I prefer to increase my fees and include it on every file.

Why Smart Brokerages Provide Transaction Management Services

Taking over the transaction once it has gone under contract will not only free up your agent’s time, it will also eliminate the challenge of chasing down paperwork from your agents to complete your required brokerage file.

Since you have to pay someone to manage that file, it is easy and inexpensive to add this transaction management service to the list of what your brokerage provides. We’ve done a breakdown of our top transaction management software picks to make the choice as easy as possible.

Transaction Management Benefits vs Cost Breakdown

Agent Signs & Lockboxes (Installation, Removal & Storage)

It may sound simplistic, but providing signs and lockboxes and having them installed, removed, and stored is very enticing to agents. Why? Because what self-respecting agent loves to swing a sledgehammer at a steel sign frame to get it into a frozen lawn? No one, that’s who! Even worse is placing 20 open house signs on busy intersections wearing a black Armani suit in 100-degree weather. Been there—hated it!

Save your agents the pain and embarrassment of having to install listing and open house signs. Let someone else deal with the headache of where to place the lockbox and finagling it onto a metal screen door. Your agents will love you for the simple gesture. To provide this service, you can contract with a local sign company to manage the whole process. The cost is typically $30 to $50 for each install or removal.

Why Smart Brokerages Provide Sign & Lockbox Services

Maintain Your Brand Image & Standards

If I had a dollar for every time I saw one of my brokerage signs printed in the wrong color or with the wrong font, I could buy the Miami Dolphins! Most agents are not in tune with the importance of maintaining a brand, and if they have the ability to save $10 a sign by having them printed more cheaply, they will. If you include listing and open house signs as part of your services, this will ensure that your brand is always presented with quality.

Promote Your Brand

If your listing and open house signs are branded to your brokerage, you are also promoting your brokerage—and the best part is you only pay when your agents take a listing or hold an open house.

Signs & Lockboxes Benefits vs Cost Breakdown

• Sign installation, removal & storage, $60 per listing
• Lockbox installation, $20 per listing
• Open house sign installation & removal, $50-$100 per open house

Meetings & Events

Real estate sales is a social business, and most agents love to socialize. A healthy event calendar will not only increase agent retention, but will make recruiting easier. Real estate can also be a lonely business, and many agents are hungry for connection, especially if they are struggling.

3 Types of Events Successful Brokerages Host

Team Meetings

Believe it or not, team meetings are less about education and information and more about building and maintaining relationships and company culture. Coffee and donuts, or lunch right after your team meeting, can give agents a reason to socialize and bond. It also gives them a reason to show up (besides listening to you or your sales manager talk shop).

Social Happy Hours

A monthly happy hour at a local brewery or trendy restaurant will make your agents feel like you value them and want to get to know them better. Additionally, these social happy hours are a great opportunity to invite agents from other brokerages to check out your company’s culture.

Client Events

Getting in front of your agents’ clients not only builds your brokerage’s brand, but it provides a reason for your agents to reach out to their SOI and past clients. Many busy agents would love to throw customer appreciation events but lack the time or skills to do it. And some agents with small SOIs or client databases fear that they won’t have enough people show up. Why not give them all a helping hand and coordinate the event for them? There’s no need to do them monthly—quarterly or bi-annually will be enough to keep your agents in front of their SOI.

Meetings & Events Benefits vs Costs Breakdown

Education & Training

Any real estate brokerage that wants to serve agents throughout their careers must provide a full suite of education and training. If they’re not getting it from you, they will get it somewhere else. Plus, keep in mind that your educated agents tend to be more productive and on top of the newest contract changes, leading to less mistakes—in short, your errors and omissions insurance will thank you. 

Begin by thinking about what type of agents you want your brokerage to serve. What phase of their career are they in? What skills and knowledge do they need to be successful in order to push through to the next phase?

If you don’t have time for this rhetorical question, I did some of the thinking for you. Below you’ll find a short list of the phases of an agent’s career, as well as classes that will support them in that phase. 

Types of Agents & Training Smart Brokerages Offer

Unlicensed Prospects

People interested in getting into real estate need access to a real estate school. Many successful brokerages either offer an in-house real estate licensing school or have an affiliation with one, where they refer students in exchange for promoting their brokerage as an affiliation option. So if your business model includes recruiting brand-new agents, getting into prelicensing education is a no-brainer.

New & Newer Agents

This is where you need a structured training calendar—one that can walk a new licensee through a marketing plan, lead generation strategies, and all the required tasks related to working with buyers and sellers.

Newer agents also need the support of a mentor who they can call to get their urgent questions answered. This ensures that they are doing the right thing and protects your brokerage.

Productive Agents

Busy productive agents don’t want to sit in classes week to week. They only want to attend classes that they can directly apply to their business. Productive agents are attracted to business planning, lead generation classes, and continuing education (CE) credit courses that offer knowledge they can use.

Top Producers & Teams

Top producers and teams are looking for educational opportunities that are geared toward the latest systems, tools, and strategies that help them bring their business to the next level.

Try bringing in coaches, trainers, or top producers from other markets to teach your driven agents. Agents from outside your market area are more likely to share their secrets without the fear of a competitor taking their market share away.

Education & Training Benefits vs Costs Breakdown

Office Management Services

Beyond just printing fliers, holding classes, and running team meetings, you still have to fulfill all the state-mandated managing broker activities, such as agent supervision and file compliance—not to mention all the management tasks that go with running a brokerage, such as financial management, office reception, and recruiting.

While these services may not be on your company brochure, if you wish to have a successful brokerage, they still need to be managed. 

Office Management & Services Benefits vs Costs Breakdown

Essential Software to Manage Real Estate Brokerage Services

Now that you have decided what services you are going to provide the agents with your real estate brokerage, next look for the software solutions that will help you deliver these services and manage your brokerage.

To keep your expenses low, use software whenever you can. Even though the upfront cost and setup of software can be pricey, it will save you money over the cost of hiring an employee.

For a full list of software solutions to run a real estate brokerage, please check out the article: Real Estate Brokerage Software: Our Top 26 Picks for 2023 (+ Pricing).

It’s a Fine Balance & Further Reading

The types of services you choose to offer will ultimately determine the employees you will need to successfully run your real estate brokerage. A common mistake new brokers make is offering too many services when their brokerage is small. This mistake puts too much stress on a young brokerage’s limited staff.

To avoid this misstep, you must find creative ways to provide a full range of services to your agents—all while not breaking the bank. One way to do this is to use software solutions, outsourcing, and then hire employees to manage the remaining tasks.

What mistakes did you make when you set up your first brokerage? Are there any services I might have missed? Let us know in the comment section below.

The post 9 Services Smart Brokerages Are Offering to Attract More Agents appeared first on The Close.

In my 28-year real estate career, I have built two independent brokerages and was an investor in two franchises with Keller Williams Realty. Not to say that I have all the answers here, but I can shed some light on some of the questions you may have when deciding between starting an independent brokerage and buying a real estate franchise.

Here’s a quick rundown of the pros and cons of each from my experience, and some questions you need to answer for yourself before making a decision.

Do You Have a Clear Vision & Business Plan for Your Brokerage?

If you already have a clear vision for your brokerage and you feel you have a strong business background, then opening an independent brokerage may be the right decision for you. This is because franchisors (the parent franchise company) have already figured out the vision and the business plan for their brokerages, and they are typically inflexible to changes. Imagine a McDonald’s franchisee adding tacos to their menu—that would never fly!

If you are driven by your own vision, one that doesn’t align with the franchisor’s vision, then you’re typically not a good candidate for a franchise. On the other hand, if you have the drive to build a brokerage but don’t have a vision or a solid plan, then a franchise may be the perfect solution for you.

Before you make your final decision, there are other things you must consider, like how you are going to attract agents and how much it will cost you to get your brokerage up and running.

The Benefits of Purchasing a Real Estate Franchise

When it comes to hitting the ground running, franchises have many advantages. Franchises typically have brand awareness, processes, procedures, and software already in place so you don’t have to make these decisions. The idea behind purchasing a franchise is having a proven model and systems that will allow you to grow your brokerage faster, and with less risk, than you could on your own. Yes, the upfront costs can be steep, but the benefits and reduced risk can be appealing.

Franchises Can Be Easier to Sell

One of the commonly overlooked benefits of a franchise is that there are often other in-company agents and franchisees waiting in line to buy a franchise when a territory opens. Therefore, you may be able to sell your franchise brokerage quicker and for more money than you could an independent brokerage.

The Benefits of Opening an Independent Brokerage

The unique benefits of opening an independent real estate brokerage are unparalleled. One of these is that you can be as creative as you choose.

One of the main issues with franchises is that there are barriers to entry: Many franchises have qualifications and requirements that you must meet before you can be considered a candidate. This can range from your past real estate achievements to your overall net worth. People also complain about all the rules you must follow. These seemingly arbitrary prohibitions are there to sustain a cohesive brand and prevent internal conflicts among franchise owners. These rules include things like charging agents the same splits, maintaining a minimum number of agents and employees, and ensuring all of your office space is located inside your territory.

These rules make sense if you are operating a franchise. However, as an independent brokerage, you can charge your agents whatever you wish to negotiate, grow your brokerage as fast as you see fit, and seize opportunities by opening offices wherever you choose (or not at all, if that is your plan).

With independent brokerages, you can create a unique brand because you are not restricted by the franchise’s marketing materials and trademark. This can include your messaging, tag lines, colors, and logos—allowing you to further differentiate yourself from the competition. You already know, if you’ve read my other articles, that I love differentiation!

So if you have the desire to be creative with your brand, logos, and messaging, and you don’t want to be subject to additional rules, then creating and building your very own independent brokerage might be the right path for you!

Do You Have Systems to Recruit & Retain Agents?

If your goal is to have enough agents so that your brokerage provides enough income that you no longer need to sell real estate yourself, then you may be shocked to learn how much of your time will be spent just recruiting agents. I found myself spending two to four hours each day on this task.

But your efforts don’t stop there. Once you have recruited them to your brokerage, you need to retain them by meeting their needs throughout their real estate career. This includes providing new agent training, marketing assistance, the latest software, and brand awareness. All this while offering competitive splits and fee structures.

Individually, these are each manageable, but over time, it can become a monumental and expensive task for an independent brokerage to provide all of these services. Since your real estate sales skills won’t help you here, you will still need to create systems for recruiting from scratch if you decide to start your own brokerage.

Real estate franchises provide the processes, procedures, and software systems to fulfill most of these requirements. This allows you to focus on the task of recruiting instead of the never-ending development of new offerings to attract agents. Most franchises also create additional training and events to build a company culture. This is all thoughtfully designed to develop agent loyalty, thus assisting you with the retention of your agents.

It may sound great to have these systems and processes provided for you, but first you need to look at the overall expense associated with opening a real estate franchise.

How Much Money Do You Have to Invest Into a Real Estate Franchise?

One of the largest differences between starting your own independent brokerage and purchasing a franchise is the upfront cost. If you open your own independent brokerage, you can bootstrap it by starting in a smaller office or co-working space and using software off the shelf. You can see more on this topic in my previous article, 7 Things I Wish I Knew Before Starting My Real Estate Brokerage.

Purchasing a franchise is buying a proven business model. Franchisors have standards for everything from office space and furniture to equipment and software. Therefore, you will spend more money earlier on to bring the office up to the franchise brand standards. That being said, there are lesser-known real estate franchise business models, like NextHome, that have minimal office requirements that can save you money on the startup costs.

Initial Franchise Fee

Franchises have an upfront fee ranging from $10,000 to $50,000. This is in addition to training and office buildout. For example, the median total cost of opening a RE/MAX or Keller Williams franchise today is just over $140,000, and the total cost can be as high as $350,000.

Royalties

In addition to the upfront cost, franchises also charge an ongoing royalty. This typically ranges from 3% to 6% of your company’s gross commissions, or it’s a monthly fee of $25 to $400 per agent. Some franchises may charge both ways. However, managing brokers typically tend to pass royalty fees on to the agent.

Commitment

Franchise agreements are traditionally for terms of five to 20 years, with renewal fees at each interval. The renewal fees are typically 50% of the initial franchise fee. You will want to factor this into your long-term financial plan.

The final element you must consider when investigating the franchise route is the availability of the franchise opportunities in your area.

Are There Real Estate Franchise Opportunities in Your Area?

A franchise territory is a geographic boundary around a franchise that prevents another franchisee within the same company from opening an office nearby. This prevents competition (in terms of recruiting, not sales) from within the company. Many of the most common national franchise brands have long ago sold off their franchise territories in most major cities. This can make purchasing a franchise tricky in some areas, especially if you want a great location.

Although franchisors like RE/MAX are tapering off the practice of large franchise territories, they still take into consideration the impact a new franchise would make on their existing franchises.

What Do You Do if the Franchise Territories Are Sold Out?

Sold-out franchise territories traditionally leave you with one of three options if you truly want to own a franchise:

1. Partner or become an investor in an existing franchise.
2. Join a lesser-known franchise brand that has availability in your area.
3. Select an up-and-coming area that hasn’t been expanded into as of yet.

Some franchises offer other arrangements for investors when all their prime territories are unavailable. For example, Keller Williams is now permitting existing franchisees to partner with agents who wish to run their own brokerage within the existing territories. This allows agents who want to have ownership of a franchise, but don’t have the capital or territory open to do so, to have the support and systems like a Keller Williams franchise.

This change creates a new way for agents who desire the opportunity to build a small brokerage without the expense of a new franchise and the risk of building an independent brokerage.

Our Top Real Estate Franchises

Real estate franchises are as different as the agents who work for them. Start by doing your research to find the right fit for your values, budget, territory, and long-term plans. There are plenty of real estate franchises to choose from, and your own financial situation and location will further narrow down your choices. Here are our top five picks based on reputation, pricing, resources offered, training, recruitment tools, and technology:

Please note that these numbers are general estimates. With the exception of Keller Williams and NextHome, most brokerages don’t publish their franchise fees and investment expectations. This does, however, give you an approximate idea of the kind of money we’re talking about and a good jumping off point for your research. 

At the end of the day, it all comes back to those core values that keep you motivated in business and in life. If the mission of the brokerage doesn’t line up with yours, it’s not a good fit, no matter the financials.

Bottom Line

There are a lot of things you must consider when making the decision to go out on your own. The decisions you make now may forever affect the success of your brokerage. So do your research and write out a list of pros and cons to opening an independent brokerage versus making the commitment to purchasing a real estate franchise of your own. In the end, the time you spend upfront may save you tens of thousands down the road.

Bringing It All Together 

Did we miss anything, or do you have any experience with building an independent brokerage or franchising that you would like to share? Let us know in the comment section!

The post Should I Buy a Franchise or Start My Own Brokerage? appeared first on The Close.

I should know—I’ve done it before. During the Great Recession of 2008, I was given the opportunity to lead a large brokerage firm. After a lot of trial and error, I found a proven way to guide my agents to not only survive … but to thrive in the shifting market.

Within two short years, the Keller Williams brokerage I was leading went from near bankruptcy to number 10 out of more than 700 brokerages! In this article, I will share my secrets to effectively train your real estate agents to sell and outperform the market in 2023.

Shift From Marketing to Prospecting

Reflecting on the Great Recession of 2008, I can remember previously successful agents sitting at their desks staring at their phones wondering why they stopped ringing. The previous years of a strong market had taught them that all they had to do to get the phone to ring was to advertise their listings and themselves, and the buyers would simply call.

However, once the market shifted, the buyers stopped calling—and then so did the sellers. Without rent appreciation, buyers are less motivated to trade their leases for titles. And with less equity, sellers are more focused on paying their mortgage than moving up into a larger house.

The solution I found was to shift my agents from a marketing-based business plan to a prospecting plan. 

As simple as it sounds, it isn’t easy at all! This is because it requires agents to develop new sales skills, habits, and strategies. 

Teach Agents How to Prospect

If you are a newer broker, you may have never experienced a buyer’s market and therefore you may not know how to lead your agents through a transition—much less a recession. The greatest challenge of guiding real estate agents during difficult times is finding the right lead generation techniques without risking too much money and wasting a lot of time.

Thinking back to the last recession, training my agents to shift from marketing to prospecting not only brought in more transactions, it also helped further develop my team. It not only saved them money, it taught them new skills and made them better agents. 

Prospecting is the act of going out and finding the business, rather than waiting for the business to come and find you. It’s the lowest cost, highest return lead generation activity real estate agents can do to generate business in a down market during a recessionary period.

When the economy shifts, financial uncertainty ensues. This uncertainty leads to homeowners who begin to fall behind on payments, investors who are struggling to keep properties, and marriages that start to fall apart.

The challenge is that, in many of these very personal situations, these potential sellers don’t ask for help. Embarrassed or just private, they choose to try to navigate these difficult times on their own. Since they aren’t calling us, we need to go find them, talk to them, and help them!

Pro Tip: If you don’t already offer a tool to your agents for reaching out to homeowners who are in distress or reluctant landlords, we like that prospecting platform REDX allows customers to subscribe to for rent by owner and preforeclosure lead lists. Their auto-dialer is also one of The Close’s favorites.

Finally, here are a few articles you can use to create agent training focused on prospecting:

Focus & Organize the Team

You’ve heard it before, but this bears repeating in a changing market: Doing the same thing expecting different results is the definition of insanity. When an agent’s marketing stops working, it’s time for them to do something different. The challenge many agents are facing is trying to figure out what strategies and techniques are effective in this market.

The overwhelming decision of what to do, combined with their fear of making a mistake, leads to perfection paralysis. They can’t afford to make a mistake (not in this market), so they just don’t make a decision or make any changes at all. They are completely stuck in insanity!

To successfully guide agents through a downturn, you must get all of them focused and moving together in the same direction. Your new direction will include new training, skill development, and habit-building techniques that will produce quicker results.

The combined efforts, accountability, and visibility will provide group results and validate that the new training and lead generation techniques are working. This will motivate and inspire the rest of the team to continue their efforts. The new focus and excitement can be infectious and ultimately produce great habits and outstanding results.

Track Their Progress & Hold Them Accountable

Ask most agents why they got into real estate instead of pursuing a traditional 9-to-5 career, and they will likely tell you that they wanted the freedom, flexibility, and unlimited income that a career in real estate provides.

While real estate does offer all of these things, it doesn’t provide them simultaneously. An agent might have freedom and flexibility, but then that dream of unlimited income isn’t going to come true. Those of us who have experienced the excitement of making over $100,000 month over month in real estate also know that it didn’t come from freedom or flexibility. It came from a lot of discipline and accountability!

To successfully transition your brokerage to a prospecting-based culture, you will need to add tracking and accountability to your weekly activities. Reasonably, this will not be accepted by all your agents. Especially the highly independent types. 

Start with a small group of newer agents if you must. Once a week you will guide them to set individual prospecting goals. We call these key performance indicators, or KPIs. 

KPIs include the number of actions (calls, texts, door-knocks, messages) they take, conversations they have, appointments they set, and appointments they go on. Each agent should set their own individual goal on what they intend to achieve for the week.

At the end of the week, they will report on their KPIs. With a little guidance and accountability, you will see conversations turning into appointments and appointments into agreements.

Pro Tip: Don’t forget to consider the current policies you have in place and how they might need to change in response to this pivot. My Brokerage Process and Procedures Plan template is a helpful tool in this process. Download it for free below!

The Cycle of Success

If you wish to turn your office into a profitable prospecting machine, then your #1 job at the end of each week is to celebrate the successes of each agent. No matter how small. Many agents will set aspirational goals and will be embarrassed or ashamed to report their numbers. If they feel defeated, they won’t continue to participate and they may eventually quit altogether. That’s why you need to praise even the smallest effort from each agent.

When you consistently set goals and acknowledge the small wins, you will find that it empowers agents to prospect more. And the more they prospect, the better they get as their skills improve. Additionally, the prospecting culture you created will inspire other agents to participate. Your prospecting group will grow as it attracts other agents who want to be part of something exciting and productive. I call this the Cycle of Success!

Add & Recruit the Right Agents

It may seem strange to expand during a recession. But the health of a brokerage can be directly attributed to the number of real estate professionals (or agent count) in the brokerage. Therefore, you should onboard as many agents to your brokerage as you can during a market downturn.

When you’re effectively training and leading your team from an individual agent marketing culture to a group accountability prospecting culture, you will automatically attract agents from other brokerages who are looking for a company that is better suited for the current market.

Your instinct may be to invite them all to participate in your prospecting culture. While newcomers can bring enthusiasm to a group, they can also bring fear and criticism. So before you add outside members to your prospecting team, be sure they understand and agree to the rules. Here are five rules of my prospecting team.

Sean’s Prospecting Team Rules

1. Be on time and professional
2. Prospect first, market second
3. Honesty leads to clarity
4. Accountability improves performance
5. We celebrate progress, not achievement

Feel free to use mine or create your own. Your prospecting team’s clear rules and expectations will keep the culture safe and ensure that disruptions from new team members are kept to a minimum. 

Disruptions create chaos and negatively affect progress. So, both your team and your pocketbook will appreciate the clear expectations. Now let’s get prospecting!

Bottom Line

If you want—or need—to change the trajectory of your real estate brokerage during this shifting market, you must train your agents to prospect and generate leads again. To do this, you need a clear plan to organize the team, teach them new skills, hold them accountable, and celebrate their progress.

This, along with the cycle of success, was the secret to my success in leading my brokerage through the largest real estate recession in history. I’m positive it will be effective for you, too. Please share your success stories in the comment section below!

The post How to Train Your Real Estate Agents to Sell in a Challenging Market appeared first on The Close.