There are many business decisions for anyone who is new to real estate business. First and foremost, what type of brokerage should one hang the license with. Global and national franchise offices command lion shares of your earned out commission split, in addition, there may be additional monthly technology, desk, admin fees etc. On the contrary, there are 100% commission brokerages that allow agent to capture 100% of the commission without any split, yet, there will be deal-fee, monthly membership fee, etc. Depending on a new agent’s sphere of influence, if one believes, s/he can live off well with internal referral to launch real estate business with parents/relatives who are already in real estate business to serve as private mentors, by all means, go and hang your license with 100% house as you NET more money at the end of the transaction; however most new agents may require formal training on contract writing, listing presentation, mentor-matching/shadowing, one should never count pennies and dollars as national franchise usually offers robust marketing platforms that are proprietary; and being an agent under such brand, you have direct internal access to training, education, database system plus more. The benefits that one is getting (due to corporate discounted rates) from the big firm usually outweigh the cost that you put up with for as long as you do to go through the system training and apply it to your business. So overall, 100% commission house is more geared for seasoned real estate professionals; while robust franchise office will be for most new agents to start out due to excellent platforms that are exclusive in nature.
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Jason Wong, MBA REALTOR®-Broker License RB-22819
E: realty@jasonwong.us M: +1 (808) 343-9526
CENTURY 21® iProperties Hawaii 1585 Kapiolani Blvd., Suite 1533 Honolulu, HI 96814 #hawaiirealestate #honolulurealestate #jasonwong