For any of a variety of factors, a commercial real estate salesperson will often be drawn to another agency. Moving and changing an organisation is OK, but you should know that before you make the final step, the process should be thoroughly checked out.Learn more about us at blue mountains real estate
There are several ways in which organisations can be compared. You’ll see some major variations between agencies when you dig down. Before you make the final decision and make the transfer, compare them absolutely.
To help you understand what I’m looking at, here are some ideas:
For reasons of ‘income’ and commission, most agents travel. If that is your reason for transferring, recognise that most agencies would have distinct administrative structures and can not be explicitly compared for that reason. For the sales team, one organisation will have great administrative support, while another may have none or very little. Find evidence about the mechanisms of administrative support. In our business, there is nothing more frustrating but getting ‘bogged down’ in routing paperwork that can be handled by someone else.
The amount of commission you are paid to the agency from the total commission can vary and depend on the ‘benefit’ you add to an organisation. The fee you get in your wallet will typically be up to 50 percent of the total fee paid by the client if you are hired by an agency. It is not uncommon that only 25 to 30 percent of the commission from a contract they put together will be paid to new hires in the industry. When knowledge and capability come together, this figure will shift.
Commission fees would be offset against the salary base in most situations. In other words, before you see real extra money in your wallet, there will be a payback obligation on your paycheck. It will be a very long time before you see commissions come to you as additional cash if you get too far behind in salary debit. For this very reason, when you start a new job in a new real estate agency, it pays for prospecting and networking immediately. In salary debit, do not let yourself get too far behind.
Usually, top agents would get more than 50 percent of the commission and up to 65 percent in some cases. To pay for the administrative support, the remainder of the money goes back to the agency. Top agents bring to an organisation outstanding ability, motivation, and customer engagement. Given the money they bring into the company, they merit the elevated commission rates.
How much logistical assistance are you getting or needing? Top agents have a lot of logistical assistance, but the expense aspect goes with it. Who provides logistical help for this and how is it paid for? Look out for the ‘secret’ desk fees you would pay on a monthly basis.
Does your prospecting zone, or form of land, have any restrictions? Before you join another agency, get those limitations sorted.
It can be said that it is a positive thing for a moving agency to keep you fresh from a business perspective. When saying that, before you start the transfer, make sure you check out all the details.