The number of real estate companies that are outsourcing their transaction coordinator processes continues to increase each and every year. The benefits of outsourcing can really make a huge positive impact for your company considering the cost savings and overall increase in efficiency you will experience.
As you already know there are never any business decisions that are free from risks and this is no different. You have to be willing to accept your loss of control over most of the real estate transaction coordination processes which can be extremely risky. Before deciding whether to outsource your real estate transaction coordinator or any other business activity for that matter you need to carefully consider all of the pros and cons associated with outsourcing.
Pros to Outsourcing Your Real Estate Transaction Coordinator
- Talent Pool – You will be able to choose your employee from the largest pool of talent there is which is the internet. There are highly experienced real estate transaction coordinators located throughout the world and outsourcing gives you the ability to take advantage of their skills. Don’t constrain yourself to the local talent pool when finding someone to handle one of your most important business processes.
- Reduce Costs – It is no secret that one of the main benefits to outsource is to save money. Salaries overseas are substantially lower than in your home country and you don’t have to worry about all of the additional costs of insurance, holidays and office space. One word of caution though is to not just find the cheapest service or employee to handle your transactions but find the right one with the right qualifications you require.
- Increase Productivity – While you might be risking some quality assurance and a slight disconnect between you and the outsourced transaction coordinator on how to perform their tasks but there is still a lot to gain as far as productivity. Outsourcing forces you to centralize and automate these real estate transaction processes which will definitely encourage productivity, accuracy and accountability. Reducing the amount of tasks that require human input allows you and your team to focus on growing your client base.
Cons to Outsourcing Your Real Estate Transaction Coordinator
- Security risks – The most common concern with outsourcing your transaction coordinator is it will expose your company to some additional security risks but with the right precautions the risks would be minimal. You can best protect your company’s information by using non-disclosure agreements (NDAs). Make sure you check online for reviews and feedback from previous clients before choosing your outsourcing company.
- Loss of Control – This is most often viewed as a benefit but losing complete control of the transaction coordination can be a scary concept for you to fully accept. You must be willing to give up complete control over the process so you can increase your businesses scalability.
- Quality Control– You are probably worried that you will not get what you pay for when outsourcing your real estate transaction coordination. Things can get overlooked or processed incorrectly and end up costing you more than what the service is worth. Of course this is a very rare occurrence but usually you will be able find some negative reviews online about the outsourcing company if they have had issues in the past.
You can use this as a guide to help you decide whether outsourcing would be beneficial for you and if you are willing to accept the risks. Certain benefits will only pertain to specific company situations and most of the risks can be mitigated.