If you’ve been thinking you need help in your real estate career, a transaction coordinator is a great first step to take. A transaction coordinator takes over everything once you have ratified a contract with a buyer or seller. They manage the process from escrow to close for you, including communication with all parties of the contract. Just like agents, coordinators are only paid when a contract closes, so they are a great first addition to your real estate team. Here are five reasons you might need a TC right now.
You want to take your business to the next level
While the general public may believe the only thing a real estate agent does is open doors and hand over keys at closing, agents understand the daily activities that must be completed to be successful. From prospecting for new clients, to hand holding to get them qualified and beyond, daily interruptions can derail an agents business growth. Hiring a transaction coordinator allows you to control your time by limiting interruptions once a contract has been ratified. The transaction coordinator will review contracts for compliance, and conduct all communication and actions throughout the process from clients, lenders, title, insurance companies, inspectors and more. This allows you to move onto new clients and get them under contract to increase your business.
You don’t want to miss details
Real estate contracts are extremely long, with multiple disclosures, and it’s easy to miss a deadline when you are putting out fires or dealing with a client that came into town last minute. Let’s face it, there are also some agents that just hate paperwork. Having another set of eyes on your contracts will help you avoid costly mistakes. The transaction coordinator will ensure all compliance and contract dates are met, ask if something seems off and ensure everything is delivered and closed on time.
You don’t want to hire and train an admin
Many agents know they need help, but they aren’t comfortable hiring and training an assistant. Many have tried and failed and are now scared to get stuck again, not to mention losing the time training someone new. A transaction coordinator already knows the contracts and has systems in place. They can change things around to make them custom to how you prefer to run your business, without you having to advertise, interview, hire and train someone from the ground up.
You are not financially ready for hiring full time help
If you are on the cusp of growing your business but not quite financially ready to commit to hiring an admin as your income still fluctuates, hiring a transaction coordinator can get you past that hump while filling the gaps. Coordinators are paid only when a transaction closes, so if you have a month where you have lost several closings you don’t have to worry about still having to pay your admin on top of losing income for yourself. This can help you grow to a level where your income is more predictable and you can invest in a part or full time hourly admin when you are completely ready.
You want to control expenses while increasing income
Along the same lines, using a transaction coordinator can help you control your expenses and increase your income. Let’s say the average agent earns $50,000 a year, which equals $24 per hour. Each transaction averages 15 hours to close after ratification. That means you spend $360 of your time working on a contract to get it to closing. What if you could take those 15 hours and spend them prospecting for new clients? Do you think you would earn more than $360? Calculate how much your time is worth and what you could do with those additional hours. If you are only closing 1 transaction a month right now, those 15 hours could get you to another closing each month, doubling your income!
Paying a transaction coordinator $250 per file makes financial sense. Many agents include this fee in their compensation as an admin fee from clients rather than adding it to their own expenses, as it is a benefit for their clients as well.
Hiring a transaction coordinator will give you back time to for marketing your sellers home or finding the right home for your buyers rather than waiting on inspection reports and receipts. Contact Dream Agent TC for more information on working with a transaction coordinator!