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The Pros and Cons of Using a Virtual Real Estate Transaction Coordinator

February 18 2020

home cell laptopUtilizing virtual real estate transaction coordinators has become increasingly more popular in the real estate industry. Many agents find their services to be extremely helpful, and will often invest in the help of one during busy months.

The decision to outsource business activities is a tough one to make, though. Releasing some control over your business practices is never something that should be considered lightly. That is why we have prepared a list of pros and cons for you to review when considering hiring a virtual transaction coordinator. Hopefully, this list sets you on the right track to make the best decision for your business.

Pros

There are a variety of pros to be identified when talking about virtual transaction coordinators. Three of the most prominent ones, however, are as follows: an increase in productivity, a cost reduction compared to hiring an employee to do the work, and access to an expert in real estate transactions.

Increased Productivity

Virtual real estate transaction coordinators are made famous by their ability to increase your productivity, regardless of if you are working solo or on a team. This is possible because they focus all their energy on managing a successful transaction. This takes that task off your plate, so you can spend more time devoted to prominent revenue generating tasks. Focusing on tasks such as lead generation, face to face client interaction, and social media management makes you more productive in growing your business at the fastest possible rate.

A virtual transaction coordinator is able to organize your transactions, and all the extensive paperwork involved with them, as well as ensure all scheduling with necessary individuals, such as appraisers or inspectors, is done. Overall, they are responsible for taking a significant chunk of administrative duties off your hands. Taking over these duties not only provides you with more time to focus on important business tasks, but also increases your client capacity. With many administrative duties covered, you will be able to serve more clients at one time, giving you the opportunity to significantly increase your profits for the year.

Reduces Costs

As you know, covering the cost of a salary is quite expensive—not to mention additional costs of a full-time employee such as insurance, holidays, and desk costs. If you are working as a solo agent, or on a small team, hiring a new employee solely to oversee transactions just may not be an option. With virtual transaction coordinators, though, you are able to have access to the services of transaction coordinators at a fraction of the cost. You can simply contract a virtual transaction coordinator out for one transaction or six months' worth of transactions. Whatever fits your situation your best.

Expertise in Real Estate Transactions

Virtual real estate transaction coordinators are essentially specialists in real estate transactions. They are able to serve as your go to person for any problem during a transaction. An experienced transaction coordinator will be well-versed in many types of complications that could arise during the process. Even if complications don't arise, real estate transactions can become intricate. No need to worry, though, if you are working with an experienced transaction coordinator. You can be sure that the complex or tedious aspects of the transaction won't fall through the cracks.

Cons

As stated earlier, there is a certain level of risk to consider when outsourcing your business practices. These risks can always be minimized by hiring through a reputable company, however. Transactly works extremely hard to reduce these risks, and offer you the most reliable service possible.

Loss of Control

Many people often view this first con as a pro, depending on how you look at it. It is considered a benefit by many agents to have the task of overseeing a transaction taken off their plate. To fully take advantage of a transaction coordinator's services, you must be willing to completely relinquish control of the transaction. This becomes difficult for agents because, at the end of the day, it is your name and your business on the line. If a transaction coordinator messes up one of your transactions, or makes any mistake, it is you that pays for it.

That is why it is a good idea to bring transaction coordinators in on a trial period. Only contract them out for one or two transactions to begin with. This way you will quickly be able to review their work once they have finished and make a decision on if they are a good fit for you. Until you are able to hand full control of a transaction over to a transaction coordinator, you will not see the drastic increase in productivity that their service can offer you.

Risk Quality of Work

When contracting aspects of your business out, you are always risking the quality of work you receive back. Again, one of the easiest ways to avoid this is to contract a virtual transaction coordinator through a reputable company. Do your research and investigate any independent contractor you are considering using. Make sure to read plenty of reviews on the company, like these reviews of Transactly, and the services their transaction coordinators provide. If other agents have had bad experiences using certain transaction coordinators, the information is out there—you just have to find it.

To view the original article, visit the Transactly blog.