If you’re just starting your journey in real estate, whether as a new agent, investor, or curious homebuyer, you’ve probably heard the term transaction coordinator tossed around. But what exactly does a transaction coordinator (often abbreviated as TC) do, and why are they such an important part of the real estate process?
In this beginner-friendly guide, we’ll explain transaction coordinators’ responsibilities, how they fit into the real estate ecosystem, and why more realtors and brokerages are choosing to work with them. If you’re serious about succeeding in real estate, understanding the role of a TC is crucial.
What Is a Transaction Coordinator?
A transaction coordinator is a real estate professional who manages the administrative aspects of a real estate transaction from the time a contract is signed to the moment the deal closes. While real estate agents are out showing homes, negotiating offers, and building relationships with clients, the transaction coordinator ensures everything behind the scenes runs like clockwork.
Think of them as the project manager for the transaction. They handle deadlines, paperwork, compliance, and communication with all involved parties. Their job is to ensure that no task slips through the cracks—and that each transaction closes on time and in full legal compliance.
The Transaction Timeline: Where a TC Fits In
To understand the value of a transaction coordinator, it helps to look at the real estate transaction timeline. The process starts when an offer is accepted and ends at the closing table. In between are dozens of time-sensitive steps—each of which must be completed accurately and on schedule.
Once a contract is signed, the TC reviews it in detail to ensure all signatures, initials, and dates are completed. They then open escrow, help coordinate the earnest money deposit, and create a master calendar with all key deadlines—like inspections, appraisals, and financing contingencies. Throughout the process, they ensure everyone is informed and that all documents are filed and compliant.
What Does a Transaction Coordinator Do?
You might be wondering: What exactly does a transaction coordinator do daily?
Let’s explore their key responsibilities in more depth.
First, they review the purchase agreement and supporting documents to make sure everything is complete. Errors in contracts, like missing initials or incorrect dates, can delay or jeopardize a deal. TCs catch those errors early and get them corrected. They also open escrow with the title company or attorney and help ensure the buyer delivers the earnest money deposit on time.
Next, TCs track all contingency deadlines. For example, they monitor when the home inspection must be completed, when the buyer’s loan must be approved, and when the appraisal is due. They send regular reminders to all parties, so no one misses a key milestone. If a deadline needs to be extended, the TC helps prepare the proper documentation for signatures.
They also assist with communication between the buyer’s agent, seller’s agent, title officer, lender, and any other party involved. When someone needs an updated document, clarification on a term, or a signature, the TC is the first to respond and follow up. Their coordination ensures that agents can focus on their clients rather than chasing down paperwork.
As closing day nears, the transaction coordinator confirms that everything is in place: final inspections are completed, funds are prepared, and all documents are signed. After closing, they perform a final audit to make sure everything is stored properly for compliance with brokerage and legal standards.
Who Needs a Transaction Coordinator?
While TCs are most commonly associated with residential real estate agents, their services can benefit many others in the industry. Solo agents, growing teams, and even brokerages rely on TCs to keep operations efficient. A busy agent juggling multiple clients at once may struggle to keep track of transaction paperwork and deadlines without help, and that’s where a TC can make all the difference.
Real estate investors and flippers may also use transaction coordinators to streamline their deals. By offloading the administrative side of each purchase or sale, investors can focus more on acquisitions, rehab, and disposition. Even mortgage brokers and attorneys sometimes partner with TCs to create a smoother transaction flow for their clients.
Why Real Estate Agents Hire Transaction Coordinators
The number one reason agents hire transaction coordinators is simple: to save time. An agent’s highest value work is building relationships, prospecting, negotiating deals, and providing excellent client service. But when they’re buried in compliance paperwork or deadline tracking, their productivity and income can suffer.
A TC takes those time consuming administrative tasks off the agent’s plate, allowing them to do what they do best: close more deals. In many cases, agents who hire transaction coordinators end up increasing their transaction volume, thanks to the time they’ve regained.
TCs also help protect agents legally. Every real estate transaction must comply with local and state laws, as well as brokerage policies. A missed disclosure or unsigned form could result in a compliance fine or worse. TCs know exactly what documents are needed and ensure they’re submitted correctly and on time.
How TCs Are Paid
Most transaction coordinators are paid a flat fee per transaction, ranging anywhere from $300 to $600 depending on the location and complexity of the deal. This fee is often paid out of the agent’s commission after closing, meaning the TC only gets paid when the deal successfully closes.
Some agents work with freelance TCs on a per deal basis, while others hire full time in house coordinators. There are also virtual transaction coordination companies that provide services on demand, which is especially helpful for agents or teams who close multiple deals per month.
For many agents, the fee is well worth it. When you consider the hours saved and the increased efficiency, a transaction coordinator often pays for themselves many times over.
Common Misconceptions About TCs
One of the biggest misconceptions is that a TC replaces the real estate agent in the transaction. That’s not true. The agent is still the main point of contact for the client, responsible for guiding them through negotiations, showing homes, and making strategic decisions. The TC supports the agent in the background, handling all the operational tasks.
Another misconception is that TCs are only for high-volume agents. In reality, even agents doing just a few deals per month can benefit. In fact, for newer agents, having a TC is a great way to ensure nothing is missed during the transaction, and to learn the process thoroughly along the way.
How to Choose the Right Transaction Coordinator
If you’re considering working with a TC, it’s important to find the right fit. Look for someone with experience in your local market and knowledge of your brokerage’s systems and compliance requirements. Ask for references or reviews from other agents they’ve worked with.
Good TCs are detail-oriented, proactive communicators, and tech-savvy. They should be comfortable using platforms like DocuSign, Skyslope, Dotloop, or whatever system your brokerage uses. Most importantly, they should share your commitment to professionalism and excellent client service.
Final Thoughts: Why You Should Know What a TC Is
Whether you’re an agent looking to grow your business or a first-time homebuyer wondering how deals stay on track, understanding what a transaction coordinator is gives you insight into the engine that keeps real estate deals moving forward. TCs play a critical, often unseen role in helping agents close more deals, clients feel less stressed, and transactions reach the finish line smoothly.
Their work may be behind the scenes, but their impact is front and center when it comes to successful closings. As the real estate industry continues to grow in complexity, the need for skilled transaction coordination will only increase.
Want to streamline your closings and focus on growing your real estate business?
Let Helping You Succeed connect you with experienced, reliable transaction coordinators who handle every step from contract to close.
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