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In the real estate industry, adaptability and strategy separate teams that thrive from those that simply survive. Teams Report 2024 focuses on trends that are redefining the way teams operate, hire, and grow. Edited by RealScout, Tom Ferry, and T3 Sixty, this book outlines “how teams work, how to structure compensation, and where to generate business.”
Learn how you can use these insights to help your team achieve sustainable success in the year ahead.
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1. Spending for Growth: The Long Game
Large teams are rewriting their strategies by prioritizing volume over margin. They invest heavily in lead generation, pay higher referral fees, and offer competitive compensation packages. This is a bold strategy, gaining market share advantage in exchange for short-term profits.
What it means for you: Small teams can’t always match this level of spending, but they can compete through cost-effective strategies. Build partnerships to share resources and focus on creative funding solutions. Efficient lead management and nurturing existing relationships is also a game-changer.
Action point: Look beyond paid leads. Invest in organic growth through area of influence (SOI) marketing and targeted collaboration with complementary businesses.
2. SOI: An underrated treasure trove
Space of influence (SOI) leads generate the highest ROI for teams, yet little investment is made in this important channel. A lot depends on how the agent feels about follow-ups, basic tools, or sporadic engagement that day, leaving potential deals on the table.
What it means to you: Closing this gap is a pressing opportunity. Implement a robust CRM system to track and nurture SOI leads over time. Personalize your outreach and ensure follow-up consistency.
Action point: Prioritize SOI marketing as the cornerstone of your strategy. A small number of well-nurtured connections outperforms expensive paid lead sources.
3. Embrace organizational diversity
Teams can take many forms, from informal partnerships to structured businesses. Hybrid models that combine unified goals with semi-autonomous subteams are gaining traction as scalable and adaptable solutions.
What it means to you: There is no one-size-fits-all model. Your team structure should align with your core values, market conditions, goals, and growth trajectory. Small teams can remain agile, while larger teams can experiment with hybrid frameworks.
Action point: Review your structure regularly. Balance autonomy and collaboration to maximize both individual contribution and collective success.
4. Optimism amid market uncertainty
Despite industry challenges, 74% of teams predict double-digit growth. Their confidence stems from the team model’s ability to scale, innovate, and continue to take market share from single agents.
What it means for you: Optimism is contagious and strategic. Take advantage of this prospect to hire top talent and expand your presence. Highlight your team’s growth potential and stability in a volatile market.
Action point: Position your team as a safe haven for aspiring agents. We offer clear growth paths, support systems, and real-world opportunities.
5. Recruitment: Secret Weapon
The team attracts talent by offering better pay, resources and support. As solo agents struggle with rising lead costs and administrative demands, joining a team is becoming increasingly attractive.
What it means for you: Recruiting is about more than just filling seats. This is your chance to form a dream team of like-minded professionals. By delivering tangible benefits and a collaborative culture, you can position your team as a top destination for top talent.
Action Point: Strengthen your recruiting efforts by emphasizing mentoring, growth, and sharing success. Make Teams the clear choice for agents looking for stability and scale.
6. Technology and development systems: missed opportunities
Despite spending $1,000 to $2,499 per month on technology, many teams express dissatisfaction with the development system. Tools are often underutilized, leading to inefficiencies in lead conversion and retention.
What it means to you: The effectiveness of technology is determined by its implementation. Optimize your CRM and automate your workflows to ensure no leads go to waste.
Action point: Train your team to get the most out of technology. From personalized outreach to automated follow-ups, we make your systems work stronger and smarter.
7. The Cost of Leading: Innovating to Stay Competitive
Large teams dominate high-cost lead channels, creating upward price pressure. For small teams, relying on paid leads can be unsustainable.
What it means to you: Compete where larger teams can’t. Focus on organic lead generation through SOI, content marketing, and referral partnerships. These channels have lower costs and offer better value in the long run.
Action point: Develop a content-driven campaign that positions your team as a thought leader. Attract organic traffic by sharing market insights, real estate trends, and community highlights.
8. Resilience of informal teams
Approximately 15% of teams operate informally, relying on ad hoc structures. While this may work in the short term, a lack of formalization can lead to problems as the team grows, as well as social and legal issues.
What it means to you: Growth requires clarity. Formalizing your team structure not only minimizes risk, but also increases efficiency and scalability.
Action point: If you operate informally, prioritize creating a governance framework. Clear roles, responsibilities and accountability systems pave the way for growth.
9. Adapting to regulatory changes
Teams are better positioned than single agents to address industry changes such as NAR settlements. Their ability to adapt quickly gives them an edge. By quickly adopting and embedding value-oriented presentations, the teams we work with have reported a 20% increase in commission rates per trade over the past nine months.
What it means for you: Compliance can be a competitive advantage. Train your team to stay ahead of regulations and use this expertise as a selling point to your clients.
Action point: Establish regular training sessions on regulatory updates. Manage change proactively to maintain client trust and team alignment.
10. Lead Management: Unleash Hidden Potential
Teams often manage large databases (5,000-10,000 contacts) but struggle with lead assignment and prioritization. Effective management can significantly increase conversions.
What it means for you: Efficient lead distribution isn’t just about fairness. It’s about results. Work with the agents most likely to convert leads into sales.
Action point: Implement a lead scoring system based on factors such as activity and interest. Assign high-value leads to top closers and use automation to evenly distribute other leads.
11. Scaling with a hybrid model
Larger teams are exploring hybrid structures that blend centralized operations with flexible, semi-autonomous sub-teams focused on different geographies and areas of expertise. This approach balances collaboration and local adaptability.
What it means for you: A hybrid model could be the key to expanding while maintaining a personal touch. Sub-teams can specialize in niche areas or geographic areas to increase efficiency and expertise.
Action point: Try a hybrid structure. Pilot semi-autonomous subteams in target markets or customer segments to test scalability.
Teams Report 2024 provides a roadmap for teams to navigate the challenges and opportunities of today’s real estate market. From prioritizing SOI to embracing organizational diversity, the key is to remain adaptable and customer-focused.
Whether you have a small team competing for leads or a large team scaling your operations, the insights are clear. Success lies in strategy, execution, and an unwavering commitment to excellence.
Chris Pollinger, founder and managing partner of RE Luxe Leaders, is a strategic advisor to the elite in the luxury real estate business. He is an advisor, national speaker, consultant, and leadership coach. Learn more about our consulting, coaching and advisory programs at RELuxeLeaders.com.
