Whether you’re in the market to buy or you’re ready to sell a home, you may be wondering if you should choose an independent or franchise broker. It can be complicated to figure out which is the best option for you. They each have their own pros and cons so it’s important to consider the options before making your decision.
Working with an Independent Broker
Often times, an independent broker is someone with a lot of real estate experience who broke away from a franchise to start their own brokerage. Independent brokers usually come with a lot of unique experiences and resources, including sometimes working with other independent brokers, allowing an expanse of knowledge that you can benefit from.
Franchise brokers don’t always believe in spending money to try new things, whereas independent brokers aren’t governed by these rules. They have more freedom to expand their knowledge and experience through training that isn’t usually offered in a franchise. They also have the ability to put money into expanded customer experiences and new sales tactics.
Independent brokers also have the freedom to run their own company and set themselves apart from other brokers while franchises are tied to their national branding. Franchises also have policy, procedures, and rules that don’t always benefit the buyer or seller but independent brokers can choose how to best run their business.
Franchise brokers also have less flexibility when negotiating their commission while independent brokers are more focused on providing the best experience for their client and have more room to negotiate.
And independent brokers have more flexibility with hiring to include a broad range of agents to handle a variety of transactions, giving their clients a better overall experience.
Working with a Franchise Broker
One of the biggest things a franchise broker has going for them is their brand recognition. They’re national recognized through their radio and television commercials, magazine ads, and even the design of their “for sale” signs. People know they are working with a large company that employs hundreds of agents and industry partners. Because of this branding, many people think they are the best option.
Agents with franchise brokers do have a larger support system for training, referrals, and other industry professionals you may need like home inspectors and mortgage officers. And they have also developed a streamlined onboarding process for taking on new clients.
Newer agents have the support they need to be successful when they’re part of a franchise. But most independent brokers were once part of a franchise themselves and bring that knowledge and experience with them to their own brokerage.
One other benefit franchise brokers usually have over independent brokers is technology. They have interactive websites and apps that allow their clients to easily view available properties or keep up to date on what’s happening with the sale of their property. However, this does remove the personal aspect of working with a realtor that you’d receive from an independent broker.
What Independent Brokers and Franchise Brokers Have in Common
There are many things that both kind of brokers have in common that benefit both buyers and sellers.
For starters, both types of brokers have the ability to access the same databases of listings so you won’t miss out on a listing because you choose to work with one broker over another.
Agents and brokers from both sides also tend to maintain the highest levels of professionalism. They appreciate and respect their affiliations and understand that they have to work together to ensure the best outcome for their clients.
Brokers from both sides also maintain membership with professional real estate associations including the National Association of REALTORS® (NAR). These affiliations allow them the same level of training, information, and resources regardless of whether they are an independent or a franchise.
Regardless of whether you choose an independent or franchise broker, you will be well represented. But an independent broker will have more flexibility and experience to work with your specific needs to make buying or selling a home easier than you’d imagine.