Agent headcount, previously a common measure of brokerage success, has decreased according to interviews and new Inman Intel Index results. The focus has shifted towards recruiting and retaining “the better and best agents.”
Note: This content is part of the “Recruiting War ’24” series, exclusively available to Intel subscribers. The first installment can be found on the Inman website.
In a conversation with Kamini Lane, President and CEO of Coldwell Banker, she emphasized the importance of finding top real estate talent in a competitive market. With the market contracting over the past two years, companies are now prioritizing quality agents over quantity.
Industry leaders, including Lane, have confirmed this shift towards quality over quantity in agent recruitment. Competition is intense, and the March Inman Intel Index survey revealed that recruiting top talent is now the biggest challenge for many industry leaders.
Different brokerages employ various strategies to find and attract quality agents. Compass relies on organic contacts and agent introductions, while Coldwell Banker focuses on matching recruits with local office leaders. eXp Realty also highlights the importance of technology and culture in attracting agents.
The competition in recruiting is increasing, with many agents receiving constant inquiries from different brokerages. Brokerage leaders recognize recruiting and retention as the most challenging aspects of the current business environment.
While headcounts have stabilized for some companies, many brokers believe their numbers will grow in the coming year. Despite challenges like commission lawsuits, brokerages are optimistic about expanding their ranks in the future.
Overall, the industry is navigating a shift towards quality over quantity in agent recruitment, with a continued focus on attracting the best and most talented agents.
The traditional measure of brokerage success, agent headcount, has declined in importance, with a shift towards focusing on quality agents. In a competitive market, brokerages are now prioritizing recruiting the best agents rather than just increasing their numbers. Industry leaders are finding quality agents through organic contacts, direct outreach, and incentives. Companies like Compass, eXp Realty, and Coldwell Banker are using technology, brand awareness, and culture to attract top talent. However, recruiting and retention have become major challenges for brokerage leaders, with competition intensifying and headcounts remaining stagnant or declining. Despite these challenges, brokers remain optimistic about growing their ranks in the coming year. The industry is changing, and brokerages are adapting by focusing on quality over quantity in their agent recruitment efforts.
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