By this point, you might have heard of 100% Commission Real Estate companies. These brokerages are agent-friendly groups that allow you to take home the full commission on your home sales as a real estate agent.
The appeal of these brokerages is not hard to understand — real estate can be a very unforgiving industry, and many agents struggle to become truly successful. Part of this difficulty comes when you spend your precious time putting together a deal, only to have the frustration of having to split your commission with the broker. Sometimes, you will only take home a fraction of your full earnings after it is cut apart by frees, hidden charges, and outrageous splits.
So it’s not surprising that many agents are choosing to join 100% Commission Real Estate Companies. Many of these full-commission models provide all the same benefits as a traditional brokerage: office spaces, training, support, and more. Rather than giving the broker a large cut of every commission, however, agents instead pay a flat, monthly rate.
You might be asking yourself — “what’s the catch?” Well, read below to find out the pros and cons of a 100% Commission Real Estate model.
The 5 Pros
1. No Steep Commission Splits
The first pro is very apparent — you take home more money on each deal! Because this type of brokerage doesn’t have the harsh commission splits that are common in the industry, agents are able to make more money on every single home that they sell.
This means that, instead of getting nickel-and-dimed by hidden fees and charges, you simply pay a clear rate each month — and after that, you get to keep your full commission! This commission model is ideal for part-time agents and career home sellers alike. After all, it’s not that hard to find who has the best commission split when some brokerages are offering you 100 percent!
2. World-Class Training
The fact is, very few real estate professionals get the mentorship and training that they need to succeed and build a sustainable career. This is part of the reason that the majority of agents only make it a few years in the field — if you don’t have someone to help you learn, then it’s even harder than usual to find success.
This is a problem that plagues a lot of the big-box brokerages. Because they have so many agents paying a heavy split of commission to them, the leaders of these companies don’t worry about having some of their agents fail. So, they don’t bother providing proper training for how to crush your real estate goals. But if you are looking for which real estate company has the best training, then you can stop your search now!
With a 100% commission brokerage, the monthly fee that you pay goes towards providing training materials and support — and because all of the agents are paying these monthly fees, all of the agents are trained to the same high standard!
Some brokerages might rely entirely on in-house training, but many of the best full-commission brokerages will work with expert real estate coaching services to provide absolutely top-notch training — which is why beREAL agents can access the best real estate coaching from the HyperFast Agent Academy!
3. Full Transaction Support
As part of the agreement between the full-commission brokerage and the agent, people who hang their license at a 100% Commission brokerage get access to world-class transaction support.
The fee structure and commission model of these brokerages allow for each agent to have just as much — if not more — support that they would get from most traditional brokerages. On top of that, they can expect for this guidance and support to be far more personalized than what they would receive at a large, big-box brokerage
In addition to physical office spaces, large-scale printing services, and access to conference rooms for meeting clients, agents at full-commission brokerages also get office support. This includes legal aid and access to listing coordinators, so you can be sure that your deals go through smoothly while you focus on selling more homes and making more money!
4. Complete Freedom and Brand Control
One of the most common complaints we hear from agents who have worked with big-box brokerages is that they have almost no control over their own brand. And for most real estate professionals, sculpting a unique brand is one of the most important strategies for doing more business and making more money!
Due to the flexible nature of the full-commission model, you are able to craft your business to suit your needs, rather than the other way around. This means that you can do as much or as little business as you want, without worrying about the brokerage taking massive cuts of each sales commission.
In addition to this freedom, you also have more control over your personal branding. At most large brokerages, the agents all use the same print materials, signage, and marketing tools. This stifles the creativity and personality of each individual. With beREAL, and many other flat-fee brokerages, you are able to completely customize your marketing materials and personal branding to make sure that you are at the center of your business!
5. Access To Incredibly Technologies and Strategies
As cutting-edge business models themselves, most 100% Commission brokerages give their agents access to the most current technologies and strategies for selling homes. This includes:
- Modern digital marketing solutions and personalized websites
- Hyper-advanced tools for Client Relationship Management
- Geofence advertising technologies, to find molten-hot leads by location and intent
- And countless more
All of these tools are made available, as well as the training in how to properly use them, by the best full-commission brokerage. In addition, these materials are all constantly updated, maintained, and curated by a collection of dedicated professionals — so you can leave the heavy lifting in their hands and focus your attention on helping more clients get the best possible deal!
The 2 Cons
Of course, not everything can be perfect when it comes to finding the right brokerage. There are 2 cons to finding a full-commission brokerage; but they are not deal breakers by any means.
1. Harder to Find
Simply put, there are a lot more traditional brokerages than there are 100% Commission brokerages. That means that you have to put in some more effort to find one than you might if you were working at a big-box firm.
The good news is, most of these full-commission businesses are not restricted to a single area. One might be based in Washington, DC; or in New York City; or in San Francisco — but an agent who sells homes in Dallas would be able to work with any of them.
2. Only As Flexible As You Are
A 100% Commission Real Estate brokerage is often the most flexible possible model for a real estate business. They are designed to fit around your needs and business goals — but they can only be as flexible as you will let them be!
As you can see, the 100% Commission model is a great option for all types of real estate agents. This is a main factor in why it is becoming a more popular form of brokerage in recent days, and why it will almost certainly continue down that path.
If you are interested in making more money by taking home 100% of your real estate commissions, then working with beREAL might be the perfect option for you!
BeREAL was started by Keri Shull and Dan Lesniak, two billion-dollar agents who were tired of seeing other real estate professionals struggling to meet their goals due to restrictive brokerages. After creating their own real estate team — the Keri Shull Team — and a real estate coaching service — HyperFast Agent — they knew that the next step was to build a new kind of brokerage…one designed to help you!
If you want to learn more about beREAL or how you can get started taking home 100% of your commissions, then we want to speak with you! Just click here to schedule a time to speak with us about how you can get involved!