The Real Deal

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Teaching brokers the business

Becoming an agent is not a job, it’s a career, says Mary Jo McNally of Corcoran, where aspiring agents undergo a 75-hour orientation.

Every real estate brokerage takes a slightly different approach to training new hires. The Real Deal surveyed six of the city's largest and busiest residential firms, and found programs ranging from a month-and-a-half intensive curriculum involving exams to one agency where training is comprised of only a truncated discussion on the nuances of co-ops. Executives from all firms surveyed said voluntary continuing education is strongly encouraged.

Bellmarc co-founder Neil Binder didn't just write the book on selling real estate; he's written a few. His fourth, "Thinking About Selling," is due out this June. So naturally, his firm takes broker training to an elevated level: New hires are required to undergo an intense six-week course on the business of real estate. Interestingly, lessons on ethics don't comprise part of the curriculum. "Ethics is always in the eye of the beholder," said Binder. "Ethics is something that is grossly, grossly misused. I believe there is one fundamental that we must all do: Obey the law." What new hires at Bellmarc are exposed to is Binder's philosophy on negotiation, time and "how they engage in taking action." Trainees do more than sit at desks taking notes: One lesson famously requires students to repeatedly step on and off a chair, and tests are frequent. Trainees need to memorize all 29 clauses of a standard contract, and cheat sheets aren't permitted. "Even my competitors frequently send newbies to me," said Binder. If this training sounds rigorous, it's because it is: Only two-thirds of Bellmarc's trainees graduate the first time around.

Most aspiring Corcoran agents make it through the company's 75-hour, unpaid orientation. But occasionally some new hires, such as those who are repeatedly late or unmotivated, are shown to the door. "[Becoming an agent is] not a slam dunk," said Mary Jo McNally, Corcoran's director of education. "It's not a job, it's a career." The course, which stretches over 14 days, involves lessons from 38 in-house top guns who explain how to qualify buyers and prepare a co-op board package, as well as teach ethics, fair housing laws, sales techniques and how to use 11 proprietary computer programs. Role-playing is emphasized, and trainees are assigned homework.

Before becoming agents at Halstead, new hires go through a two-week unpaid boot camp. Training occurs at the Scandinavia House weekdays at 10 a.m.; Fritz Frigan, director of sales and leasing, said Halstead's courses have such a good reputation that outside brokers occasionally crash the advanced seminars. Training is generally broken up into three or four sessions a day, covering both technical and intellectual nuts and bolts. Role-playing — including a session called "Devil's Advocate," led by Vasco Da Silva, a director of sales at Halstead — is frequent. Da Silva also teaches a session on developing business plans. His lessons stress flexibility and teach brokers the difference between strategies for those who want to specialize in the studio and one-bedroom market versus those who will be immersed in the city's high-end market.

New Sotheby's agents don't need training; they're already top-notch when they're hired, said Downtown Manhattan office head Diane Levine. "I usually don't take inexperienced agents, so there's not really training required," she said. "They start somewhere else." But regardless of pedigree, Levine said she personally instructs every new hire on the nuances of co-op sales, a huge portion of the Manhattan market. "People in New York have complicated financial pictures, and brokers need to understand what they're looking at when qualifying a buyer," especially considering the lengthy co-op board process, Levine said. She also discusses the art of wooing board members (for example, what buyers should wear, depending on the vibe of the building, and for couples not to argue over answers during the interview). Other than that, continuing education is always encouraged. "We tell our brokers at various times we're in an Internet age, and encourage them to use modern technology," said Levine.

Brown Harris Stevens is "kind of like the graduate school of brokerages, so you won't see a lot of inexperienced brokers," said communications director Melissa Hill. While there's no regimented training for new hires, executive vice president Ruth McCoy said the company offers an internship program for those who want to work their way from the ground up. Interns, who must be fully licensed, shadow top brokers for six months to a year, lending a hand while getting hands-on experience. Allowing these new brokers to shadow experts through everyday aspects of the trade is considered important, and mentors don't usually mind because interns lighten their load. "Maybe they need a second person to help them show a house," said McCoy. Graduates first become assistants before moving on to making their own sales.

New hires at Williamsburg-based aptsandlofts.com shadow senior brokers for "basically a week," though they're usually already experienced, said company founder David Maundrell. Nonetheless, all brokers and agents are required to attend weekly meetings where problems, like difficult landlords and buyers who try to sidestep the brokerage fee, are tackled collaboratively. The mid-size firm handles rentals and sales for a significant portion of new Brooklyn projects aimed at young professionals, and Maundrell said he looks for hires who can relate to that demographic. "Most of the people who work here understand what our market is because they are our market; they dress the role." Phone manners are especially important to Maundrell, who said, "If I'm walking through the office and I overhear them, I'll listen in."