Real estate may seem like a lucrative career, yet on average real estate agents receive a commission of only 1.5% of the sale price of the property. Standard commission rates are 5% to 6% of a home's price, but that amount is split between several parties. That leaves only a small piece of the pie for the agent.
Are you tired of losing so much of your hard-earned money to this traditional real estate commission structure? It may be time to find a broker that offers 100% commission sponsorship.
Luxury realtors stand to benefit the most from this model of real estate sponsorship. A lot of time and effort goes into selling a luxury property, and agents deserve to be paid for their hard work. Broker Breakup can help you enhance your career by allowing you to keep 100% of your commissions without sacrificing broker support.
Earn More Money with 100% Commission Sponsorship
Traditional brokerages will take between 30% to 50% of an agent's commission. Agents then have to sell more properties every year to meet their income goals.
While 100% commission sponsorship is a powerful tool for real estate agents, it is especially valuable for luxury realtors. A lot of work goes into selling luxury properties, from marketing to extra training. Due to the high expectations of affluent clients, luxury realtors need more money to keep their businesses running.
Earn Higher Commissions
Imagine you're selling a luxury property for $1,000,000 at 5% commission. Depending on the commission split negotiated with your brokerage, you'd make between $12,500 to $17,500. With a brokerage that offers 100% commission sponsorship, you would make $25,000 on that deal.
Every dollar matters when you're trying to grow your business. Sure, $12,500 is still a decent payday, but wouldn't you rather have the full $25,000? That extra money can be put back into your business and help you attract new luxury clients.
Luxury realtors can benefit from keeping 100% of their commissions because there are fewer luxury listings on the market and these properties are often hard to sell. These high-end homes spend more time on the market than your average listing, so it's nice to have that extra money that would have otherwise gone to your broker.
Maintain Low Overhead
Not only do you have to split your hard-earned commission, but traditional brokerages may also charge several fees, including desk fees and franchise fees. When you work with a 100% commission sponsor, you pay a monthly membership fee, keeping costs down and putting more money in your pocket.
Independent real estate sponsors don't offer office space, so many agents that work with these brokerages choose to work from home. If you don't feel that you need a traditional office space, working from home is another great way to keep costs down.
Grow Your Real Estate Business
In addition to helping you increase your earnings, real estate sponsorship can help you grow your business on your own terms. Whether you want to forge ahead on your own or build a team to work under you, an independent real estate sponsor provides you with the necessary resources for branding, marketing, and support to take your business to the next level.
Build Your Own Brand as a Luxury Realtor
With so much competition in the market, personal branding is crucial to an agent's success in luxury real estate. By making yourself into a luxury brand, you will be able to attract top-tier, affluent clients.
Working with an independent real estate sponsor allows you to determine what your personal brand will be. You have the power to be "Your Name Luxury Real Estate" rather than "anonymous agent X at big brokerage Y."
Gain Access to Exclusive Marketing Solutions
In the luxury real estate market, branding and marketing go hand in hand. Working with an independent real estate sponsor provides you with access to exclusive marketing tools in addition to everything you would expect from a traditional brokerage, such as business cards and signage.
Many independent real estate sponsors also offer lead generation services, as a traditional brokerage would. Since there are fewer luxury listings on the market, lead generation is crucial for success as a luxury realtor.
Receive Premium Support for Your Business
In the past, agents were hesitant to pursue 100% commission sponsorship because they felt there was a lack of support. Traditional brokerages felt like a safer bet. Now, agents are starting to come around to this model of sponsorship as companies are able to provide first-rate support.
Broker Breakup leads the industry with its support solutions. All sponsorship levels are supported by their trademarked SponsorShield service. Higher levels of sponsorship have access to an in-house attorney and exclusive pricing with preferred vendors.
Find Your New Real Estate Sponsor
There are plenty of benefits to 100% commission sponsorship, from making more money to having more freedom to run your business. It's important to make sure that you've found the right sponsor that aligns with your values and your career goals.
Broker Breakup is a highly trusted broker sponsor in Texas. They offer three different plans that you can choose from based on your individual needs.
Their Top Producer plan is great for luxury realtors looking to grow their business. They also offer a plan for those looking to start their own brokerage and have a team of agents working under them.
No matter what your goals are, Broker Breakup is here to support your luxury real estate business. So what are you waiting for? Sign up with Broker Breakup today!