Broker and agent splits

Agent commission mainly depends on brokers, people or agencies who hire agents, who receive payments for services rendered during property transactions. Some agents and brokers will agree on a 50/50 split from the gross commission received by that broker during the transaction. However, there is no average percentage or norm to go by and the split may vary in certain circumstances. Additionally, real estate commission, calculated as a percentage of the property’s selling price, can also vary depending on the brokerage. Then the buying and listing brokers involved in the deal would each split their cuts with their respective agents.

So, for example, if a transaction involved a home listed at $250,000 with a 5% rate, that $250,000 would be multiplied by .05, then divided by two. This would leave each broker and agent making $6,250 from the deal. Take away federal and state taxes, as well as office expenses, and you’ll likely end up with about $3,000-$3,500 in net income though.

Any split is negotiable, however, depending on how much business you end up bringing in, with some agents garnering a 90% split for their efforts. But don’t get greedy. Sometimes sacrificing a bit off your split could prove beneficial as you will be provided with improved broker services and guidance with marketing. Brokers are there to help you make money, not take it away from you.

Referrals

Before you and your broker split commission, a referral fee must be deducted should multiple brokerages be involved. This referral fee originates from one brokerage referring a client to another brokerage in exchange for receiving commission shares earned from a sale while representing that client. The percentage should be subtracted from the gross commission from a property sale before the agent and broker negotiate their own split. A referral fee usually is 25% of take-home commission received after a deal with the client is agreed. Once this fee is removed from the equation, negotiations between agent and broker become more fluid as you split remaining commission earned from that deal.

Other methods

You can get 100% commission from a sale. But you will have to pay a desk/office fee monthly to your broker, so you don’t technically get to keep that 100%. It’s usually advised, especially to newer agents, to steer clear of this model as those desk and office fees could cost four figures a month. Citing the earlier example, you would receive $12,500 from the deal instead of $6,250 but will have to pay over $1,000 a month for office fees and operations costs. Such fixed costs become a burden and prevent you from making what you deserve.

Sometimes it’s tough to know your true worth, but you should always try to maximize it. With Premier Commission, you can reach your full earning potential. Find out the average real estate commission you are entitled to and make sure you don’t miss out on a dime. Contact Premier Commission to learn more!

To distinguish themselves, professionals in this field must adopt real estate promotional ideas that enable them to separate from the swarm and rise above other agents. Here are some methods that can be employed to assist with your ingenuity as an expert.

Find Your Niche

Many real estate agents perform the same activities, which include finding the right property from their client based on their declared needs and requirements. However, with so many professionals offering the same thing, it can become challenging for individuals to find an ideal agent.

By discovering your specialty, you can market yourself as such. For example, if your niche is comprised of finding the right apartment, helping first time home buyers, newcomers, large families with children or any other area of expertise, you can attract these clients appropriately.

Also, by marketing yourself in this manner, you are opening yourself to the prospect of clients discovering you single-handedly. Doing so positions you as a prestigious and memorable agent.

Develop A Website And A Blog

Once you have honed your specialty, you can begin to market yourself as this specialist. Building a website is a great way to promote yourself as this expert.

Prospective clients are always online searching for what they need. Having a website that informs clients about the services you are offering is beneficial for both parties.

It gives clients access to pertinent information about properties. Additionally, hosting virtual tours, having access to photos, details about local schools, businesses, and other information demonstrates your professionalism and expertise. It also enables consumers to conduct research on their own and contact you for further assistance.

Another element that is fantastic for a website is the inclusion of a blog. Posting articles regularly about updated housing information and other topics can be advantageous.

They keep clients informed and if the blogs are intriguing, it encourages clients to share the article with their family and friends. This, in turn, can lead to more traffic on your website and subsequently more leads.

Email Campaign

Developing an email campaign is another great way to establish yourself as a qualified agent. By gathering emails from your website, you can set up an email marketing strategy that keeps your supporters informed. Notifying them of new properties, open houses, and any other exciting information helps to strengthen relationships with your clients and maintains your relevance.

Social Media

With how technologically inclined the world has become, social media has become one of the top outlets for companies and individuals to market themselves. By setting up an account on major platforms such as Facebook, Twitter, Instagram, Snapchat and other outlets such as YouTube or Pinterest, you are entering yourself into a supreme global market.

On these platforms, you can interact with various users, market your services and the properties you are selling. You can also invest in social ads, which are extremely beneficial for promoting your name and services. By doing so, you can reach a multitude of prospective clients that are active on social media.

With such stiff completion in the real estate industry, agents must discover ways to set themselves apart from others. Adopting these real estate promotional ideas will aid in your advancement and relevance in the industry.

If you are a real estate agent and require professional assistance improving your cash flow, Premier Commission can help. We offer friendly and expert services to real estate professionals, and we are committed to their success.

Our level of dedication has positioned us as one of the top-trusted names in real estate commission advances. We are transparent with low rates and fees and refrain from charging our clients unbeknownst to them. Contact us today for more information.

But, as with any industry, there are companies out there that do honest business, help their clients and gain loyalty and growth over the years, and there are other businesses that might not be so helpful. How do you separate the commission advance company you can trust over the ones you can’t? Keep a lookout for these telltale signs.

No Surprises or Hidden Fees

A commission advance company, when it is professional and reputable, operates just like any other business. All the numbers should be obvious and upfront. If a company suddenly starts adding fees that weren’t clearly mentioned beforehand, or you find these fees buried in the fine print of the document, with no highlight or acknowledgement from the people you are dealing with, that’s a red flag that this may not be an honest, or professional company.

You should never find yourself paying more than you expected or agreed to. Take your business elsewhere if you find that this has happened.

Experience With Real Estate

Commissions come in many forms, so it’s not just realtors that benefit from this service. Other industries have similar needs on occasion. If you’re looking at a company that provides advances, you’ll get much better results—and more peace of mind—if you know that they have experience dealing with the needs of real estate agents and other people in the property industry.

If you interact with people at a commission advance company that are giving you the sense they don’t really understand what you do, or how finances work in the real estate industry, back away. Find someone with more experience.

Online Security

Most commission advance companies today try to make things more convenient by offering a fast, easy way to apply while online. This lets you avoid the hassle of having to come down to an office, and it means you can quickly provide all the necessary information required, often with a same-day approval turn-around rate.

However, in order to legitimately complete such a transaction, this requires that you volunteer sensitive information, such as banking, identification and financial details. Always make sure that if a commission advance company takes online applications, they have verified online security to protect your details.

If a commission advance company cannot make an assurance that your private financial and identification information isn’t protected, do not take the risk of exposing that information.

Research Their Reputation

Last, but far from least, good business breeds a good reputation. A commission advance company that claims to have been successfully practicing for many years will have the satisfied clients to prove it. Ask friends, peers, and other professional colleagues. Look online for reviews and recommendations. If you can find a long paper or digital trail showing this company’s successful track record, you’re in good hands.

Premier Commission is a professional, friendly, and trustworthy company to work with. Our experience and passion for helping real estate professionals make us one of the top-trusted names in commission advances. We offer excellent service with low rates, no hidden fees, and no surprises so you always know what to expect. Contact us today for more information.

Through networking, you can create business partnerships, share your experiences, learn from others, connect with experienced industry mentors and develop mutually beneficial business relationships.

Some of the reasons you should prioritize real estate networking events include:

An Opportunity to Socialize and Learn

When working in real estate, you must learn to socialize and ask a lot of questions. Your ability to ask the right questions and communicate with your clients influences your success directly. At networking events, you learn how to socialize and ask questions by watching the experts do it. You also get to practice your communication skills in a more relaxed setting. Gradually, the events help you overcome your social anxiety while equipping you with the skills you need to interact with others in the sector.

Access to Opportunities

Unlike other industries, the real estate sector is quite tricky with many complex and overwhelming deals. While there are a lot of deals available on public listings, you can get access to the hottest opportunities and valuable information faster if you enjoy a healthy relationship with property managers, realtors, contractors, real estate attorneys and other investors. These relationships can also help you in complex transactions and in the actual closing of the deal. Additionally, you get to enjoy occasional discounts when working with these experts. For example, as you grow and expand your business, property managers will help you take care of your rentals and help you find the right buyer when necessary. As friends, they are more likely to help you get the best possible outcome in every transaction.

Business Mentorship

Whether you are new in the industry or a seasoned practitioner, you will often come across complex situations that surpass your expertise and experience. While there are many professional experts who can help you resolve the situation, a mentor with more experience in the industry will advise you on the best possible approach to the situation. A mentor will also invest their time to helping you succeed by connecting you to other opportunities and professional in the industry. At real estate networking events, you can meet potential mentors and ask them to become your professional mentors. Alternatively, you can get on the spot mentorship by asking questions you might be struggling with on a regular basis.

Your network of mentors can help you save money by advising you on when to fight on and on when to walk away from a deal. After a while, you can build a trust relationship and gain access to their network, which comes with numerous opportunities. For example, you may enjoy discounts from a contractor who has a long working history with your mentor.

Networking in real estate presents several opportunities for you to grow your business and advance your skills. Assimilating yourself with successful individuals in the industry will help you learn the basics of success in the real estate industry, while giving you the opportunity to help others.

Selling real estate is fundamentally a social undertaking. That’s why so many real estate marketing ideas center around creating a presence on social media and making sure that everything you do is shareable and relatable.  

Set up Shop on Major Social Media Sites 

Selling real estate is all about being approachable and accessible to your customers. Real estate marketing ideas should follow that same idea. Make sure you have accounts on all the major social media sites – Facebook, Twitter, LinkedIn and Instagram.

Real estate brokers might want to pay special attention to the more “visual” social media sites like Instagram and Pinterest since these can complement real estate listings and really get your clients excited. Posting flattering interior pictures and walk-through video tours can make your clients and future homeowners feel like they’ve already made the purchase, paid you a commission and started to enjoy their new home. That’s an experience you can bring to life with the help of social media.

Make Yourself Findable and Content Shareable 

When you really think about the core underlying idea with social media, it’s about connecting people. Real estate brokers also connect people – namely, current homeowners with prospective home buyers – so you want to transfer all of that to your online strategy.

As you create social media accounts on sites like Instagram and Facebook make sure that you include those social media sharing buttons on your main blog and at the bottom of all your online marketing collateral.

That way other brokers and prospective homeowners can share the content that you disseminated without any issues. This effectively allows you to get more mileage out of the pictures and videos you put up, and that extra exposure should translate into more interest for the home that you’re selling.

And if someone sees one of your listings or becomes intrigued with one of your video walk-through tours that you’ve posted online, they’ll probably want to contact you directly.

For that reason, it’s a good idea to include an engaging contact page on all of your webpages online, preferably near your social media contact buttons so everything is super convenient and in one place.

Consider Professional Photography or Animated Videos 

Getting a professional photographer to come by and take pictures of the properties that you really want to sell is a fantastic strategy for quickly connecting buyer and seller. You can even combine the best pictures into a Pinterest board that really turns heads.

A lot of real estate brokers see the expense of paying a professional to stop by and second guess the idea. They really shouldn’t. A professional photographer can help frame any piece of property in the best light and, ultimately, the commission that you stand to gain far exceeds the few hundred dollars most professional photographers cost.

If you’re looking for more out-of-the-box real estate marketing ideas then consider hiring a creative agency to create an animated video for your webpages.

Including your name, social media handles and local hotspots in your video can breathe new life into your online strategy. The other nice thing about animated videos is that they can really complement your other online marketing endeavors – things like search engine optimization and social media marketing.

Make Everything Responsive and Mobile 

Everything that you put online should ideally be accessible across a range of devices – this is called being “responsive” in the sense that your clients can access your webpages from tablets, smartphones or desktops. Lastly, a mobile app and embracing local SEO can prompt your clients to stop by that day!

The real estate market might be tough and competitive, but it’s also a great space for great success. When you’re in real estate, each agent has their own personality and style of getting things done, however those poised for success all share some common practices. Check out this top list of must-dos:

Build and Maintain a Great Network

Successful real estate agents understand that you can’t always wait for leads to come to you. They know that every potential client, contractor, lender, insurance provider is a connection and they establish themselves within their social networks. They also stay in touch with past clients- sending cards or listings and open-house information. Everyone inside a realtor’s network has the potential to refer a client or become a client, so it’s important to cultivate and maintain it. Real estate is about building relationships.

Stay Available Past Regular Hours

A cut-and-dried 9 to 5 schedule just isn’t typical of the real estate market, and successful real estate agents understand that they’re on the clock all the time. Whether it’s fitting in a showing or following up on a hot lead, agents must take a land, sea and air approach. Not only do they make immediate contact with potential clients, but they’re always there to answer questions and remain accessible through phone, email, text, skype or whatever method of preferred communication 24/7. With a robust network, new leads can come in at anytime, so an effective response level is necessary to close a deal.

Know Neighborhoods Inside and Out

Selling real estate is not just about selling land or buildings, it’s selling a new life. Clients don’t just want to know the details of a house, but is the neighborhood safe? Where’s the closest school? Is it public transit accessible? What are other properties selling for? Successful real estate agents are expected to be a “neighborhood expert” and possess intimate knowledge for both buyers and sellers. When selling to a family, know if there are other families in the area or playgrounds within close proximity. Positioning yourself as an expert on the area establishes trust and credibility.

Stay Up-To-Date on Digital and Technology

Part of being accessible is utilizing cutting-edge technology. Smartphones, iPads, unlimited data – whatever it takes to make sure realtors can work on the go and stay paperless. This also translates into paying top developers or SEO agents to create high-ranking websites or paid advertising campaigns. Nowadays, an online presence is invaluable. Most successful real estate agents are aware of digital trends like blogging and social media best practices, and the right technologies to carry those off.

When it comes to being a successful real estate agent, each professional has their own methodology. To stay competitive, realtors take these best practices and often incorporate them into what they’re already doing. Contact us at Premiere Commission to learn more today!

Whether you’re working with limited resources or have an established marketing team, pinpointing an efficient real estate marketing plan can turn out to be confusing. This is especially true in this digital age. Whenever you’re faced with an array of marketing practices, it’s easy to be tempted to spread your game plan so thin and lose your focus on the core goals.

By being aware of how to combine key methods, you’ll be able to impart the correct message, which will make your property stand out and outshine competitors. Ultimately, you’ll not only be able to drive your clients to a swift decision but you’ll also manage to maximize your profit potential.

Tips for Developing Yearly Real Estate Marketing Plan

The following are the top tips to help you develop an annual real estate marketing plan:

Preparation

Here are some of the questions that you should ask yourself at the planning stage:

• What kind of clients are you targeting? Exactly what do you need from them? You must prepare a comprehensive analysis of the companies or individuals you want to lease or sell to.
• Who are your competitors? How do they market their properties? Exactly what do they offer? How do you differentiate yourself from them?
• What’s your budget? How do you intend to allocate the funds for different marketing activities?

Offline Marketing Plan

Ever heard of the common adage? If it’s not broken, don’t fix it? While technology has advanced, tried and tested offline marketing strategies remain effective in generating trust, familiarity as well as gain personal association with prospective tenants and investors.

Online Marketing Plan

Establishing a visible online presence it crucial. Here are some of the areas you should focus on to improve your online marketing plan:

• Digital brochures
• Website updates
• Website development
• Outreach marketing
• Online press releases

Others are:

• Email campaigns
• Performance-based advertising
• Media placements
• Social media

Measuring Results

When it comes to measuring results, use various metrics to measure your success. The most effective include:

• Brand impressions (specifically for Ad performance)
• Leads generated (specifically for overall success)
• Clippings (especially for PR activities)
• Website visits (especially for online marketing campaigns)

Basic Sections a Real Estate Plan Should Have

1. Executive Summary – A detailed summary of the complete plan covering all your major points in as minimal words as possible.
2. Mission Summary – Indicate your business value and philosophy. What sets you apart? Who and how do you serve?
3. Market Analysis – This section is an overview of the present real estate trends and how they affect you.
4. Competitive Analysis – Who is your direct competition? How are the competitors marketing themselves?
5. SWOT Analysis – What are your strengths, weaknesses, opportunities, and threats?
6. Goals and Impact – Set both long and short-term goals. Have clear objectives … Consider the impact of those achievements on your personal business life.
7. Product Definition – Indicate the specific services you provide and why one should do business with you.
8. Marketing Strategies and Schedule – How do you intend to grab the attention of your clients? Which types of channels do you plan to use to communicate your message?
9. Budget – What’s the amount you intend to spend on marketing efforts?
10. Evaluation and Control – Closely monitor your results. What can you learn from the results? After establishing that, refine your approach!

Looking for more information? Contact us at Premiere Commission today!

Virtual reality is most often thought of as something specific to gaming and learning, but it has a lot of applications in the real world, particularly real estate. Based on the initial implementation of virtual reality by real estate companies, it is helping to address issues that have plagued the industry for decades.

The Problem Virtual Reality Solves

One of the biggest problems with the industry is that most people are not willing to make the final purchase without seeing the property. Because that usually means traveling and dedicating a lot of time into the endeavor. Given so much time to consider their options, people are more likely to talk themselves out of something.

There is also the problem of customers being deeply disappointed by a place once they arrive. The more negative reactions they have to a property, the less inclined they will feel toward the next property. By using virtual reality, real estate agents can easily remove both of these problems.

Potential Buyers Build Viewing Around Their Schedule

Technology has made instant gratification more of an expectation than a work of science fiction. People like to be able to get an idea about a product or services without having to build their entire day around that. This has been impossible for real estate because they had to physically go to the address to get a feel for the place. Drawings and pictures just don’t convey the experience. Virtual reality for real estate gives them that experience.

Potential buyer swill be able to access the virtual reality version of the home. They can take a real virtual tour, checking the different places of the home and see just how big each of the rooms are. They can begin visualizing the changes they would want to make to carpet, wallpaper, and bathrooms. They could do all of this around their current schedule. Instead of setting aside an entire day, they would be able to work it into a short break.

Simplifying the Process of Elimination

Of course buyers will probably still want to see the property before making a purchase, but virtual reality will make it easier to eliminate properties that don’t quite meet their needs. This will mean that time with customers will be much more productive because their interest will already be higher for the properties they view.

The change will also free up more time for real estate agents, which could translate to being able to help more customers. You won’t need to schedule full days to take a would-be-buyer to six or seven homes. Instead, you will be able to focus on taking them to a couple of their top choices.

Looking to learn more about the future of virtual reality and real estate? Contact us at Premier Commission today!

If you are faced with a new real estate website design project, here are the things you should consider before you get started.

Research

Before you get started, take the time to research other real estate website designs. Look for commonalities that make them better, as well as the unique elements that make a website stand out compared to the competition.

Be aware of the latest trends. The current trend may become the expectation within a few years. That is exactly what happened with responsive and mobile designs.

Branding

One of your first considerations for your real estate website design will be how you add your branding. Some companies do it by using their company color, others use fonts and characters that express their company’s identify.

For real estate, you are the brand. This means you will need to include pictures of yourself in several places. You should also let some of your personality shine through in your site.

Layout

The way your layout each page will affect the number of people who continue to use your site. While the traditional side bar is great to help with navigation, more sites are opting to have a home page that looks different. An increasing number of home pages are the site map. Each of the pages are broken up into short sections on the home page. These sections provide details about what users will find on the page.

This does mean that the home page is incredibly long, but this is no longer considered a problem. Since users are already accustomed to this kind of functionality because of cell phone, they have become accustomed to getting what they need in one place instead of having to flip through several pages.

Your Platform and Technology

One of the most critical elements of real estate website design is the platform you will use and the technology that will access it. Since your site needs to be interactive, you need a robust platform. WordPress is one of the most common because it offers a lot of solutions that you aren’t even aware you need in the beginning.

Ultimately, you want a platform that takes care of all the major areas of the website:

• User experience
• CRM technology
• Live listings

WordPress is popular because it integrates a lot of different technology for optimal results.

Content

This one is obvious yet all too often not considered element of real estate website design. You need to create a content plan for your site. It will help you determine how many pages you need, define what you offer, and how to use SEO most effectively. Since listings fall into this category, you need to have a plan before you start.

Integration

For real estate website design, IDX integration has become the fastest way to generate leads. IDX integration gives visitors a way to browse live listings and gives you a way to index them. It’s a handy tool that can make it much easier to see what is attracting attention.

If you aren’t sure how to proceed of if you would like some assistance, contact us to help get your website working for you.

Background & Reputation

Start by examining their background. Do they have experience in interior design? Are they former real estate agents? Finding out what they bring to the table can help you determine if they have what it takes to make your listings look their absolute best.

Naturally, you will also want to review the company’s reputation. Asking for references from other real estate agents and home sellers is a step that can help you narrow down your search. It’s not a step you want to skip.

Stylistic Flexibility

Homes come in all shapes, sizes, and styles. The home staging services you partner with should have experience working with the types of homes that make up the majority of your listings. Whether you are selling Craftsman’s, Art Deco’s, or Georgian Colonial’s. be sure that your partner knows how to use the architectural elements to make these properties look their best so that they match the expectations of prospective buyers of those types of properties.

When considering home staging services, ask to see examples of the scenes they have designed. Look for their use of colors, the way they maximize lighting, how they position furniture to create a strong sense of space, and all the little details they tend to. Visual examples give you a good idea of their thought process and their effectiveness at creating scenes that resonate with prospective buyers. The stronger their knowledge of design principles and possibilities, the more appealing your listings will be in the eyes of prospective home buyers.

Work Ethic & Work Style

Everyone has their own way of getting the job done. You will want to choose a partner who has a work ethic and work style that you can work with. This can help minimize conflict and reduce stress as you wait for them to complete the job. The closer their work ethic and work style matches your own, the more efficient and effective the partnership will be. This translates to increased sales and greater profits for everyone.

Most importantly, you will want to make sure that the home staging service has the ability to complete the volume of work you expect to send their way. This is crucial as you don’t want to end up in a situation where the service is so backed up that you can’t get your listings out there on your schedule.

The Brass Tacks

Home staging services can cost anywhere from a few hundred dollars all the way up to thousands of dollars depending on the services required and the size of the home. You will want to drill deep into the pricing of their services and what you can expect to pay for the services you typically need. Many real estate agents are able to negotiate a lower rate for these services due to the volume of business they are able to generate for the home staging service itself.

Premier Commission can help you get the most from your real estate business. We invite you to contact us to learn more about the services we offer that can help you increase your overall sales and maximize the profits from your efforts.