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Paul S. Henderson, REALTOR®, CRS, South Puget Sound Washington Agent/Broker! (Fathom Realty Washington LLC)

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Rainmaker
1,844,301
Lyn Sims
Schaumburg, IL
Real Estate Broker Retired

I've seen a few people so far buy other people's business & it seems to be a total bust. Who makes out better?

Can you monitize your data base & is it REALLY worth money? A collection of names is not business.

Jun 12, 2015 12:27 AM
Rainmaker
1,432,649
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

No, I am not to the point to think about that yet.  If I had to stop work I would probably do referals.  I think when you have a business built on who you are it is hard to sell it.  The best transistion would probably be long term, bring on an associated and have them do much of the grunt work, train them, collect your share for a while, but gradually fade out. 

Jun 12, 2015 03:03 AM
Rainmaker
7,836,419
Roy Kelley
Retired - Gaithersburg, MD

I built a practice to sell but decided not to sell it. I just referred everybody to associates.

Previously, I have sold our property management company, our insurance agency, our real estate franchise operations, our cemetery operations as well as several other businesses.

Jun 11, 2015 12:47 AM
Ambassador
6,393,609
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

Successional planning, at the top of our list this year, time to move on to something new in the next decade.

 

Jun 12, 2015 04:46 AM
Rainmaker
613,494
Eve Alexander
Buyers Broker of Florida - Tampa, FL
Exclusively Representing ONLY Tampa Home Buyers

Yes, I did sell an "Exclusive Buyer Agency office"...which never listed property, so had no listings.

Realistically, a real estate business is typically valued for the the listings it holds or what it has in the pipeline waiting to close. 

Agents come and go, goodwill can disappear quickly.

Eve

Jun 12, 2015 02:26 AM
Rainer
61,641
Renee Paray
Coldwell Banker Realty - Blue Bell, PA
REALTOR

No, I have really just begun. I love it. I cannot imagine retiring from doing something that you love to do. Maybe I would sell off 49% of my real estate practice and still work part time if I ever choose to retire. 

Jun 11, 2015 03:25 AM
Rainmaker
4,572,283
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Not yet.

Jun 11, 2015 01:05 AM
Rainer
12,746
Aurora Pucciarello
Pucciarello & Associates - Argyle, TX
Real Estate "Lifestyle" Consultant

Yes!  I sold my database and branding for 3 x average net profit based on an average of the two most recent year's sales.  

Jun 12, 2015 07:22 AM
Rainmaker
764,882
John Marshall - FORE!
LoKation Real Estate - Cherry Hills Village, CO
Specializing in Golf Course Properties

Like Roy Kelley I will not retire but just refer, I am also building a couple additional real estate programs that will boost that referral income

Jun 12, 2015 07:09 AM
Rainer
557,375
Kimo Jarrett
Cyber Properties - Huntington Beach, CA
Pro Lifestyle Solutions

No, but I've built other brick and mortar businesses that I sold.

Jun 12, 2015 06:56 AM
Rainer
293,277
Ron Aguilar
Gateway Mortgage Group - Saint George, UT
Mortgage & Real Estate Advisor since 1995

excellent question. I am sure many Agent to do have a scalable business but that's OK. Maybe your database is useful to the investor but only if it is loaded with current and relevant personal information.

Jun 12, 2015 06:10 AM
Rainmaker
3,545,649
Myrl Jeffcoat
Sacramento, CA
Greater Sacramento Realtor - Retired

I have no plans to sell my business.  I am increasingly referring clients instead. 

Jun 12, 2015 02:44 AM
Rainer
438,218
Doyle Davison
Hawaiian Beaches Hawaii - 714-968-6767 - Huntington Beach, CA
30 years as your Concierge services listing broker

yes, I picked a name years ago that followed/represented the city I live in and trademarked it. I have been offered good money for my company name.

Jun 12, 2015 02:05 AM
Rainmaker
1,574,666
Gary L. Waters Broker Associate, Bucci Realty
Bucci Realty, Inc. - Melbourne, FL
Eighteen Years Experience in Brevard County

I don't plan on retiring...heck I am already in Florida!

Jun 12, 2015 01:07 AM
Rainmaker
969,888
Frank Rubi
Frank Rubi Real Estate, LLC - Metairie, LA
FrankRubiRealEstate.com

Paul, I have sold other business interest. I will wait on my children in my brokerage concern to decide if they would like to continue on or sell. 

Jun 11, 2015 11:35 PM
Rainmaker
3,986,258
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

Yes!  i have already been approached!

Jun 11, 2015 09:55 AM
Rainmaker
212,755
Stefan Winter
Real Estate in IL & NV | Owner of Real Estate Web Tech | Daily Vlogger - Las Vegas, NV
Owner - Winter Group & Real Estate Web Tech

So few Realtors do and it's a shame, for the few that do, it is a great payout when you do decide to retire. I know one person that got almost half a million for her database and farm area.

Jun 11, 2015 04:30 AM
Rainmaker
5,583,278
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

I see the value of my business in being continued by my daughter... same last name....she could easily "go it alone" .....and Lorraine would need to go her separate way....there are many options, including continuing as they are, but they'll need to figure out the marketing aspect....that's TIME AND MONEY...

Jun 11, 2015 03:31 AM
Rainmaker
5,868,554
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

I think many REALTORS would like my database, and could be worth some money when I retire.

Jun 11, 2015 03:12 AM
Rainmaker
1,466,207
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Paul S. Henderson, Realtor, Tacoma Washington I've sold a lot of businesses, but never a real estate company or an agent's real estate practice. There isn't much to purchase except for a customer base which is pretty subjective. However, property management companies would have value because of their existing client base.

Jun 11, 2015 02:46 AM
Rainmaker
679,404
Diana Dahlberg
1 Month Realty - Pleasant Prairie, WI
Real Estate in Kenosha, WI since 1994 262-308-3563

I have thought about this ... but at present have no plans for full retirement. Probably will do referrals ... seems like a good way to stay in the business and handle the clients I want to handle in the days to come (not there yet).

Jun 12, 2015 09:47 AM
Rainmaker
1,712,676
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

Absolutely and we are training the people who will be buying it.

Jun 12, 2015 08:26 AM
Rainmaker
5,772,575
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Paul,

When we had our commercial real estate practice, we were approached by someone who wanted to buy it.  We opted out, and no regrets.

What does one has to sell?  A book of business, no guarantee that your clients will want to work with the new person.  

That is why we create brands.  I have also sited our Napa client's brand which we created for her with a website that produced 4 closed deals a quarter in the $800,000 range average sale.  She sold the name and the site for mid 6 figures.  Sadly, the guy did not keep up the marketing, but she is thriving happily ever after...A

Jun 11, 2015 10:15 AM
Rainmaker
4,319,419
Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

Paul S. Henderson, Realtor, Tacoma Washington - that's the next step for me. Nothing planned as yet, to retire, though...lol!

Jun 11, 2015 06:25 AM
Rainmaker
292,685
Jack Lewitz
Exit Strategy Realty - Evanston, IL

This is a very good question and am going to write something about branding your business but for now will say I bought two web names that I am thinking I might be able to sell in the future and they are .... I'll hold off on that for awhile 

Jun 11, 2015 12:43 AM
Rainmaker
4,800,082
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

I can try.

Feb 12, 2019 07:45 AM
Rainmaker
3,071,489
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

Your business is your database!

Apr 17, 2018 05:20 AM
Rainer
166,435
Marshall Brown
Mid America Inspection Services, LLC - Fargo, ND
BSEE, CHI

I have been told that  a one man/woman shop is very difficult to sell. You might have a client database with some value but the thing that is hard to transfer is you. What we tend to have is a job rather than a business. In a job the number of hours you have are limited by the clock. In a business the number of hours you have is leveraged by employees.

Jun 12, 2015 10:34 AM
Rainmaker
153,167
Nancy Hankin
RE/MAX Real Estate Consultants - Palm Springs, CA

Have You Sold Yours?

If so.....tell us how you did it. I'd love to know, as I'm sure others would as well.

Paul, I look forward to the reason you ask this question. Is it to find out HOW to sell your real estate business, or to SHARE how you did it.

 

I thought it was an interesting subject, but would love to more about it.

Jun 12, 2015 10:12 AM