By Warren Gordon

When I discuss a new role with a client, firstly I tend to start with ascertaining the type of candidate they are looking for.

However, one of the most important factors in how they are going to attract this ‘star in the making’ they require is going to come down to salary.

Let’s face it, unless there are desperate circumstances or if it’s a relocation, if a candidate is looking to leave their current role it will likely be salary and status driven.

Why move to a similar size agent a few doors down from your office, with pretty much equal market share and similar opportunities for progression? The answer is usually money!

If a candidate went to interview with one of my estate agency clients and said they were not money-motivated, then I can almost guarantee they would not get the job.

But is the basic salary such an important factor if the earning potential is so much more?

The way I would address this with clients is that they are going to need to offer an attractive package in the first place. With a shortage of quality candidates in the industry, you are not going to get the best if you want to pay negotiator money to a manager.

The argument I hear is that you want them to be motivated by earning money, and I wholeheartedly agree. The important part here is complete transparency on salary.

Attractive packages should include basic, commission, profit share, company car or allowance and any nice extras such as healthcare options, childcare vouchers, pension, extra holiday days, etc.

The whole package is what will attract (and retain) the staff who will be making the profit to your business.

I recently had a candidate offered a role. It was a good firm, reasonable basic, personal commission and profit share.

Unfortunately the candidate turned down the role when the agent refused to say how the office performed the previous year.

I must say I can’t blame the candidate that (if their salary was to be virtually doubled by a commission aspect) they wanted to know how realistic this was. I don’t believe it was in this case, but, if it’s an under-performing office, be honest!

Make it worth the candidate’s while to turn it around and there will be candidates out there who like a challenge!

Branch managers’ salaries have increased over the last year or so and average around £25,000 in my own area. Good managers should be able to achieve a £50k+ OTE.

I have found, though, that clients are generally more open-minded on basic salaries, many of whom are happy to be guided by us and will still meet with candidates who have higher expectations.

Candidates – should you raise your expectations? Maybe! Salaries have moved on and for the right talent many of our clients will pay a salary designed to entice the right people.

Firstly, you need to address the most motivating factor behind your reasons for looking or wanting to leave. What is more important to you – money or progression? Is that extra £3,000 a year worth the additional half hour’s commute? Are there agents out there who will value your input to the offices performance and pay you accordingly for your contribution?

So are basic salaries important? Really the answer is yes! In estate agency they are still relatively low compared to other sales sectors.

Any good sales person will want to earn more and be motivated by targets and earning potential.

But to attract and retain quality staff, salaries will incentivise. They are a matter of status and improvement for a candidate, and people want to feel their worth.

Warren Gordon is regional director for the northern home counties of AMR Group