You hear about a real estate company that is offering an impressive split. While your initial calculations may seem like it’s more money, it doesn’t take into account all the increased expenses you will have. Unfortunately, that initial calculation often convinces agents to make the jump to a company that appears to have higher commission splits. But the truth is, most agents who make that jump end up earning less — and having far less time to enjoy what money they do earn. The fact is that those so-called “high splits” get whittled down pretty quickly. Worse yet, at some of these so-called full-service brokerages, you end up working out of your house or your car without a decent, well-located office to meet with clients. Clients, especially listing clients, expect a professional, well-located office.
For example, when you’re working for a broker who claims to be offering a super high commission split, you have to pay for miscellaneous expenses like office space, internet usage, lockboxes, yard signs, copies, phone, print advertising, administrative support, etc. As a result, that “big split” is actually far less than promised.
The worst part is that you’ve lost another extremely valuable thing in the process – YOUR TIME. When you work at a company that provides a what appears to be a high commission split, you don’t get the kind of support that you do at Raveis. That means you have to do all the work yourself, or hire others. That’s an expensive proposition.
So, if you want to do a mailing, or place a print ad, or even make copies, that’s going to take up some of your time — time you could have spent talking to a buyer or seller.
As a result, unrealistically high commission splits hurt productivity. But perhaps even worse, they force you to spend more hours working — so you have less time for doing other things you enjoy.
Raveis agents keep far more of the money they make, because support services at Raveis are free. Raveis agents can do a higher volume of work in less time, because they are not as distracted by tasks like paperwork and placing ads. We’ll even input your listings.
Raveis agents have a better work/life balance, because they can earn a better income in less time. The truth is that working at Raveis can help you earn more money for the same volume of transactions, while giving you more time for the other good things in life.