Why Aren't All Real Estate Companies 100% Commission Brokerages ?


"Why aren't all real estate companies one hundred percent commission brokerages ?" Excellent question ! In fact, that was the exact question I asked myself that led me to create my 100% Commission brokerage.

Here's the genesis of how it all began;

A couple of years ago I was taking a sabbatical from real estate having done REO hot and heavy for 5 years as an agent. One day an acquaintance called me and asked to represent him on a transaction. Not wanting to pay the huge extortion fees for the boards, MLS, and the big block brokerage company,

I put my license on ice during that time. To do the transaction I had to hang my license with a broker to do the deal. I didn't see any sense in paying a big chunk of my commission to a broker to do this one deal, so I hunted around on the internet for a flat fee 100% commission brokerage. I had heard about the 100% commission business model earlier but didn't pay much attention because I thought, as most people would, that it was either a too good to be true scam or a passing fad. Keeping all my commission was a strong enough impetus for my to give the 100% commission model a serious look-see. I landed with a one hundred percent broker, did the deal with zero hiccups and I was hooked !

The main reason agents continue to give away their commission to a broker is that nasty 4 letter word everyone hates; F E A R. I was also fearful when I did the first deal with an online 100% commission broker. However, the fear of throwing 15 ~ 50% of my commission in the toilet was a bigger fear than doing a transaction with a virtual broker. Thank gosh I stepped out and did it !

Just about all agents work from their home now anyway, so I didn't see any reason to join the old style brokerage just to have a break room and a copy machine that nobody uses anymore. Actually the online flat fee brokerage and the old school brokerage are pretty much the same with Transaction Coordinators, Escrow / Title Officers, Loan Agents, and a Broker. The only difference between the old style brokerage and the online brokerage is the online brokerage doesn't have a parking lot, mandatory meetings, dress code, or office politics.

It’s actually quite amazing that the old business model lasted as long as it did for the old school brokerages. It served it's purpose during its time, but with the internet being the great equalizer of information it's time has come for the traditional brokerages as it has for many businesses that have now had acquiesce to the online world. And because of that agents are voting with their feet and leaving the traditional brokerages. In just a few years we will look back and say; "Remember when there used to be real estate offices like there used to be travel agency offices ?"

#OneHundredPercentCommission #VirtualBrokerage

Ronny Santana - Broker / Owner

CURB®

California's Premier 100% Commission Brokerage

www.KeepYourCommission.com

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#brokerage #california #commission #agency #company #100 #companies #onehundredpercent #broker

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