The truth about compensation.
It’s happened to just about every agent in real estate:
You hear about a real estate company that is offering an impressive split. While your initial calculation may seem like 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 with a higher commission split.
But the truth is, most agents who make that jump end up earning less money—and having far less time to enjoy it.
|At Nothnagle, the tools and services I receive as an agent have dramatically increased my commission income and profitability. My business more than doubled my first year. The amazing combination of lead generating technology and time-saving clerical support allows me to focus on income producing tasks.
|TERRY WOLAK, Brighton Office
The trouble with high commission splits.
Some companies offer splits as high as 95-5. And that sounds impressive. The trouble is, when you work for those companies almost all of your expenses will come out of your own pocket. So that 95% you’re earning gets whittled down rapidly.
For example, when you’re on a high commission split, you have to pay for all of these expenses—items that are free when you work at Nothnagle:
- Office space
- Internet usage
- Self promotions
- Print advertising
- Administrative support
As a result, that 95% split is actually much less than 95%.
But it gets worse. Because you’ve lost another very valuable thing in the process.
How a high commission split takes away your time.
When you work at a company that provides a high commission split, you don’t get the kind of support that you do at Nothnagle. That means you have to do all the work yourself, or hire others—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, 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.
A better split for a better life.
Agents at Nothnagle are provided with amazing support services, free of charge.
That means several important things for our agents:
- Nothnagle agents keep far more of the money they make, because support services at Nothnagle are free.
- Nothnagle agents can do a higher volume of work in less time, because they are not as distracted by tasks like paperwork and placing ads.
- Nothnagle agents have a better work/life balance, because they can earn a better income in less time.
So here’s the truth: working at Nothnagle can help you earn more money for the same volume of transactions, while giving you more time for the other good things in life.
|Five years later, the only regret I have was not making the switch sooner.
|TERRY WOLAK, Brighton Office
Want to learn more about how Nothnagle helps agents earn more money in less time? Find an office near you and call a Branch Manager to learn more.