Leadership strategies for modeling ethical behavior in the real estate industry

Real estate brokers face challenges in cultivating and supporting the ethical conduct of their agents. Developing ethical behavior and decision-making is crucial as it directly impacts the trust, satisfaction, and protection of clients, buyers, sellers, and other stakeholders in the real estate industry. Grounded in the theories of emotional intelligence and servant leadership, this qualitative multiple-case study aimed to explore strategies real estate brokers used in modeling ethical behavior and decision-making for their agents to influence performance and profitability positively. The participants were nine real estate brokers who modeled the ethical behavior and decision-making their agents must practice to impact performance and profitability positively. Data were collected using semistructured interviews and a review of organizational documents. Through thematic analysis, four themes emerged: (a) mentor-mentee relationship, (b) leadership communication, (c) leadership support, and (d) use of technology as a tool. Key recommendations for real estate brokers are to communicate clear expectations for ethical behavior to their agents and create an environment that encourages open dialogue. The implications for positive social change include the potential for real estate brokerage firms to drive community development, increase transactions that contribute to local tax revenue, and support local charities within the community.