T
he real estate industry is undergoing a significant talent shift, with 13% of active business operators changing brokerages in 2024. This trend highlights the importance of effective recruiting and retention strategies as the industry evolves.
Recruiting Insight's Agent Migration and Brokerage Model Performance Report provides insights into agent movement across four major multiple listing services, representing 31% of all U.S.-based agents. The study reveals key factors driving agent mobility, thriving brokerage models, and what firms need to do to stay competitive.
According to the report, leadership matters significantly in attracting and retaining top talent. Agent churn is a costly issue, with 129,056 transactions completed by 26,363 agents who switched brokerages in 2024. Tech-enabled brokerages tend to attract high-producing agents, while traditional models hold their ground despite disruption.
Capped revenue share models are attractive but face significant churn rates due to onboarding and support gaps. Seasonality and regional patterns also play a crucial role in agent movement, with California-based agents switching in Q4 at nearly double the rate of other regions.
The report identifies eight key drivers behind agent movement: direction, de-risking, development, differentiation, dynamics, digital & data dominance, dollars, and dissatisfaction. To stay ahead, brokerages must refine their recruitment messaging, analyze their market niche, and fix onboarding and retention issues.
Key takeaways from the report include:
* Leadership is crucial in attracting and retaining top talent.
* Agent churn is costly, with significant financial implications.
* Tech-enabled brokerages tend to attract high-producing agents.
* Traditional models hold their ground despite disruption.
* Capped revenue share models are attractive but face significant churn rates.
The full report is available at https://agentmigration.recruitinginsight.net/.
