Scaling your real estate team: when to bring in an answering service vs. hiring more assistants

Real estate agents often throw money at “more help” without crunching the numbers—and end up with gaps in coverage or ballooning payroll.

In this article, I’ll walk you through a simple cost-per-call comparison, explain how response speed affects lead conversion, and help you decide whether plugging in an answering service or bringing on an extra assistant makes more sense for your team. It's crucial to note that response within 1 minute boosts lead conversions by 391% compared to responding within 2 minutes, showing even small delays have massive impacts.

Why response speed matters—even after 5 PM

Imagine this: a potential buyer finds your listing on Zillow at 8 PM. They hit the “Call” button, expecting to hear back—ideally, right away or within a few minutes. If they go to business voicemail, they might feel less important and click over to a competitor’s listing.

In fact, the odds of qualifying a real estate lead drop 80% after just 5 minutes, with 78% of sales going to the first responder. In a busy market, even a few missed calls or slow callbacks translate to lost opportunities.

Key takeaway: Consistent, timely responses—whether it’s during regular hours or after your team has wrapped up for the day—build trust and keep leads engaged. But at what point do you pay someone to field those calls versus hiring an in-house assistant?

The two paths: hiring an assistant vs. using an answering service

1. Hiring a part-time assistant

What you get:

• A dedicated person who can handle calls, schedule showings, and do light data entry.
• Flexibility to assign ad hoc tasks during business hours (e.g., sending out listing packages, managing CRM updates).

What you pay:

• Wage or salary plus payroll taxes, workers’ comp, and any benefits (even part-timers often cost 1.25–1.4 times their base hourly rate when you include payroll taxes, insurance, and potential sick time).
• Training time—getting someone up to speed on your scripts, CRM system, and how you prefer leads to be handled.
• Possibly a minimum number of hours guaranteed each week, even if the call volume is light.

Crunching the numbers (example):

1. Base wages: Imagine you pay $18/hour for a part-time assistant. Add roughly 25% to cover payroll taxes and workers’ comp, bringing their fully loaded cost to \~$22.50/hour.
2. Average hourly workload: If they work 20 hours/week, that’s 20 × $22.50 = $450/week, or about $1,800/month.
3. Leads handled: If your marketing generates 200 inbound calls per month during office hours—and you also want them to cover 20 hours of after-hours calls (say from 5–9 PM)—you’re essentially paying for availability rather than pay-per-call. If only 40 of those calls happen after 5 PM, you’re paying $1,800 to catch 40 calls, which works out to $45 per call.

That’s a ballpark figure—but if each lead is worth $1,000 or more in commission share, spending $45 per call might make sense. However, there’s a tipping point where an real estate answering service (which charges per call) could be cheaper.

2. Plugging in an answering service

What you get:

• 24/7 or extended-hours coverage without guaranteeing a block of hours.
• Trained call specialists who follow scripts you provide (e.g., “Get name, phone number, property of interest, and preferred tour times”).
• Integration options that let calls route instantly into your CRM, email, or SMS pipeline—so you can follow up within minutes, even if you get a voicemail summary.
• Often, a small monthly platform fee plus a per-minute or per-call charge.

What you pay:

• A setup fee (sometimes waived) to build your script and customize call flows.
• A monthly subscription, which can range from $30–$200 for basic plans.
• A per-call or per-minute rate. Typical answering or virtual receptionist services run between $1–$3 per call (or $0.50–$1.50 per minute).

Crunching the numbers (example):

1. Monthly platform fee: Let’s say $50/month.
2. Per-call rate: Assume $2.50 per inbound lead. If you get 200 calls in a month, that’s 200 × $2.50 = $500.
3. Total cost: $500 (calls) + $50 (platform) = $550/month.
4. Cost per call: $550 / 200 = $2.75 per call.

How to compare apples to apples

The key is to think in cost per qualified lead, not just hours worked. Here’s a step-by-step approach:

Estimate monthly call volume

Review your CRM or phone logs for your average inbound calls during business hours and after hours.

Let’s say: 160 calls during business hours, 40 calls after hours.

Determine value per qualified lead

If your conversion rate is 10% (10% of calls turn into active leads), and your average closed deal nets you $7,000 in commission split, each lead is worth $700 on average.

A $2.75 call cost (answering service) is a small fraction of that $700, whereas a $45 call cost (assistant covering after hours) is much larger.

Calculate the blended cost

Option A (in-house assistant, 20 hrs/week)

• Cost: $1,800/month
• Handles all 200 calls (160 day + 40 night).
• Cost per call: $1,800 / 200 = $9 per call.
• Cost per qualified lead: $9 / 10% = $90 per qualified lead.

Option B (hire assistant for day, answering service for night)

• Assistant covers 160 calls during day: 10 hours/week at $22.50/hr → 10 × 4 weeks × $22.50 = $900/month.
• Answering service covers 40 calls at $2.75/call → 40 × $2.75 = $110.
• Plus $50 platform fee → Total $900 + $110 + $50 = $1,060.
• Blended cost per call: $1,060 / 200 = $5.30
• Cost per qualified lead: $5.30 / 10% = $53 per qualified lead.

Option C (pure answering service, 24/7)

• 200 calls at $2.75 = $550 + $50 platform = $600/month.
• Cost per call: $600 / 200 = $3.
• Cost per qualified lead: $3 / 10% = $30 per qualified lead.

If your profit margins and volume support offloading all calls, Option C is easiest—no scheduling or payroll headaches. If you need someone in-house to do manual follow-up, open houses, or light admin, Option B can be a sweet spot.

Important considerations beyond the math

Training & quality control

• Assistants: If you hire someone, you’re responsible for their onboarding, coaching them on your tone, and correcting mistakes. That takes time (and sometimes more money if you need a manager or the assistant needs to shadow you).
• Answering service: You usually set up a script once, and they handle it. If you tweak your pitch or change your process, you can update the script. Many answering platforms include a call recording software for business, so you can spot-check quality monthly without micromanaging daily.

Flexibility & scalability

• Assistants: If you suddenly get 400 calls instead of 200, you either pay them overtime or hire another person. You also need to manage scheduling, PTO, and other HR logistics.
• Answering service: They typically scale automatically. If calls spike, you just pay per-call and don’t need to scramble to find coverage. During slow months, you only pay for the calls that actually come in or downgrade your plan.

Brand consistency & client experience

• Assistants: A well-trained assistant can mimic your voice and understanding of local markets. They can upsell, book showings, or send marketing materials directly.
• Answering service: While many have real estate specialists, they’re not inside your brand. You may need to strike a balance: route incoming calls to a “live transfer” model where the answering service collects key info (name, property of interest) and then instantly sends a notification (text/email) to you or your assistant so you can follow-up personally within minutes.

Administrative overhead

• Assistants: Payroll, benefits, onboarding, possible performance reviews, and churn if they decide real estate isn’t their passion.
• Answering service: A simple setup with a monthly bill—no HR headaches. You pay for what you use.

Signs you should lean toward an answering service

1. High after-hours lead volume. If you’re fielding 30–50 calls per week after 5 PM and your conversion data shows those calls routinely turn into serious appointments, an out of hours call handling service (at \~$2–$3/call) is hard to beat versus a part-time assistant making $20–$25/hour.
2. Inconsistent call traffic. Markets shift seasonally: spring, fall, and local school schedules can spike or drop calls. An answering service flexes with you. If you lock in a part-time assistant for 20 hours/week year-round, you might overpay in slower months.
3. Limited HR bandwidth. If you’d rather focus on listings, showings, and negotiating rather than payroll taxes, onboarding docs, or scheduling coverage for PTO—outsourcing calls is a low-hassle solution.
4. Strong CRM & follow-up process already in place. If you have a solid drip campaign, text templates, or automated email sequences, an answering service delivering immediate lead data gives you a head start on nurturing. You won’t miss a beat, even if you’re in a showing or at dinner.

Signs you should add another assistant

1. Heavy in-house administrative needs beyond calls. If you need someone to manage transaction coordination, compile CMA packets, run social media ads, or handle paperwork—an assistant’s skill set extends beyond merely answering phones. Their hourly rate might justify the broader scope.
2. Brand & relationship-focused approach. Some agents prefer that every single touchpoint—from the first call to the final deal—feels hyper-personal. A dedicated assistant can learn your phrasing, brand voice, and local community nuances more deeply than a generic call center rep.
3. High-volume transaction support. Once your team grows to 50+ transactions a year, having in-house support for file management, broker communications, and client updates might be more cost-effective than paying per-call. At that point, you can bundle call intake into a larger role (e.g., a transaction coordinator who also fields calls).

Putting it all together

Figure out your averages

• Monthly inbound calls (day vs. night).
• Conversion rate (calls → appointments → closed deals).
• Average commission per deal.

Play “what if” with your budget

• Run scenarios for hiring at $18–$22/hr vs. paying $2.50–$3.50/call.
• Factor in onboarding time (time is money).
• Remember that an assistant’s “empty hours” (slow call days) are still paid hours.

Test & adjust

• Try a hybrid approach: let an answering service pick up after hours for 30 days. See if your lead pipeline improves. Compare actual call counts and lead quality.
• Track your ROI: Divide total monthly cost by number of qualified leads. If you see your cost-per-qualified-lead creeping over 10% of your average commission, it’s time to reevaluate.

Scale at your pace

• Start lean. If you’re a solo agent, begin with an answering service for nights/weekends. Once your call volume pushes 300 inbound leads per month, reevaluate bringing on someone part-time or full-time.
• As your transactions grow, consider shifting tasks (like paperwork, marketing, and data entry) to an assistant who can also answer calls during peak windows. Meanwhile, keep the answering service on for overflow and after-hours.

Final thoughts

In real estate, every missed call is a missed opportunity to build trust and close deals. But blindly hiring more hands without doing the math can lead to wasted dollars—dollars that could have accelerated your growth if routed into targeted lead gen or marketing.

Take a few hours this week, pull your call logs, and do the cost-per-call calculation. You might discover a clearer path to scaling—one that lets you spend more time closing deals and less time worrying about whether you’ll catch that next ring. Because at the end of the day, it’s not about having the “bigger” team; it’s about making every dollar work harder for your business.