In Real Estate Magazine’s cover article ”Not Business as Usual”, Realty Executives CEO David Tedesco shares his take on the outdated state of real estate franchising. While brokers used to control the market by being the gate-keeper to home listings and aggregating funds for traditional advertising campaigns, that’s no longer the case. Today, almost every listing is available to the consumer via online via multiple aggregators and leads are generated directly by agents using largely digital channels.
Although the world of franchising may be changing, Tedesco said don’t plan on them disappearing anytime soon. The cost and time associated with building a brand from the ground up is extremely high. Franchise systems provide solutions for these very problems by offering a well-known brand, marketing, training and technology all at a more affordable price.
"The power in residential real estate is with strong agents and, increasingly, with teams. From my point of view, everyone who isn’t rebuilding their model around teams and away from big franchisor GCI (Gross Commission Income) fees is a dinosaur."
At Realty Executives, Tedesco has sought out a top leadership team to develop this new way of thinking and managing a franchise network. The brand itself had great value but over the years had lost sight of their entrepreneurial spirit that is needed to succeed in today’s workplace. Tedesco is evolving the real estate franchisor mindset, focusing on forward-thinking, agent freedom and industry-leading technology and tools. The future of Realty Executives is strong, with a value-focused model to recruit the top real estate professionals in the industry and backed by one of the largest private companies in the United States, Outlier.