Agent2Agent in 94105>Question Details

 Lovestinks31, Real Estate Pro in San Francisco, CA

What's the average amount to be expected to pay when starting as an agent? Are all brokerages priced about the same or is that something to compare?

Asked by Lovestinks31, San Francisco, CA Thu Mar 20, 2014

MLS, NRA, lock box, and ? It seems as though one place was around $3000 and Better H. & G was about $4500. If they're all are the same then I know it's not something I should have compare too much (dollars & cents) but if they is a huge discrepancy then... I will keep that in mind. Feel so discouraged now. I've been waiting a month for this brokerage. Thank you, all.

Help the community by answering this question:

Answers

13
Cost is just one part of the picture. What you're looking for is value.

The experience you had with the first broker with whom you interviewed is unique; at least it is in my area.

It is pretty typical for brokers to tell you how wonderful you are and and how you'll be a great fit for the company. They figure you have a few friends or family members who are in the queue and ready to buy or sell, so you'll be a quick revenue source right upfront. You mentioned in a previous post that you have four people waiting.

Prepare a list of questions to ask when you interview brokers. You might like to search online for 'questions to ask when interviewing a real estate broker' for guidance. Be sure to include open ended questions and be a good listener.
1 vote Thank Flag Link Mon Mar 24, 2014
Thanks again for helping the newbie. I have nixed the two big corporate offices and have decided to got with a smaller independent company. thanks to everyone's advice. I have a great list of questions I have been asking. yes actually more than 4 but.. the 4 are ready and waiting right now.
Flag Mon Mar 24, 2014
Would it be fair to say that you get what you pay for? Have you done the math? Is one company offering more than the other or are they simply profiting from recruiting?

Personally, I have chosen from the start of my real estate career to keep expenses to a minimum and commission to a max. I take care of all real estate related costs, I like to stay in control of MY business. I know many may criticize this approach, but I can promise you that I have colleagues that while selling as much real estate, show a much lower 1099 at the end of the year. If we add to that fact, thousands of dollars in additional brokerage fees, training, etc, would that become a concern to you now?
1 vote Thank Flag Link Fri Mar 21, 2014
Thank you Jill.
Flag Mon Mar 24, 2014
I should add that it's all about value, which generally doesn't correlate with the lowest price.
Flag Mon Mar 24, 2014
Yanoska, I applaud your approach.
Flag Mon Mar 24, 2014
Thank you
Flag Fri Mar 21, 2014
I saw the other post, maybe neither one is suitable...
Believe in who you are, you are a shining star!
Flag Fri Mar 21, 2014
Also the more expensive company with more training is 65/35 while the $199 company is 70/30. : - / but... Remember that's the company that I had to keep calling with no return call ( see other post)"
Flag Fri Mar 21, 2014
Good point. Yes one company does offer more thus more fees, but I'm wondering do I need all of that? One company the big CB charges $199 training 8 sessions. The other co has more training like two separate times you need to do classes?
Flag Fri Mar 21, 2014
No! They are not the same: Some brokers help new agents by covering some expenses. Others have a very generous commission split that increases as the Agent completes more sales. Believe it or not, some of the largest Real Estate Brokerages charge new agents the most and provide the least in worthwhile training for them.
It's very difficult, once you have paid for all the collateral materials (signs, bus cards, letter head, stamps and on and on) to realize you made a mistake and have to look for another broker to work with.
Be very careful in making this decision.
1 vote Thank Flag Link Fri Mar 21, 2014
There are a number of start-up fees and then, ongoing frees to being a Realtor. Many of them are going to exist no matter what brokerage you join. Get a breakdown of fees from broker to broker.

Your education and training is the most important thing right now. Go where you are going to get shown the ropes and given opportunities. I know it's tough, but try not to make decisions based on money. A year from now you can move on and start shopping for dollars.

Best of Luck.
1 vote Thank Flag Link Fri Mar 21, 2014
Annette's point about your moniker is important. It speaks to your mindset. Frustrated, depressed, disappointed is what it says to me.

In real estate, there will be lots of disappointments. You'll have to learn to suck it up and move to the next and in the process, you should learn to recognize the signs of would be clients (or brokers) who are not as committed to you as you are to them.

Over time, there will be many more positives than negatives in real estate. You just can't obsess on the people who let you down.
1 vote Thank Flag Link Fri Mar 21, 2014
Response time is very important, but it is also just one of many things that should drive your decision of which broker to select.
Flag Fri Mar 21, 2014
I'm pretty tough. But... the question now is... Was the other agency that responded right away (that I didn't choose) better because they responded rvs the missing manager company ? Or did the other company just seem better because they have a recruiter who handles things for the brokerage? Meaning that's their main job vs the broker at the other firm? Thank you.
Flag Fri Mar 21, 2014
It's more about landing in the right situation to grow your business. Since Realtors are paid on commission and you are new to the business, you want to work somewhere that they will help you develop the skills you need to succeed and gain you exposure to potential clients.

If you're sitting back and waiting for them to call you, then that attitude might not get you anywhere. You need to be aggressive and go get it. After all, that's how you will be successful as a Realtor.

Once you develop some experience and the customers are coming to you because you're the best, then your needs might change and you might want to seek a more favorable split for you. At that point you might not need the hand holding that certain brokerages provide.

Hope this helps
1 vote Thank Flag Link Fri Mar 21, 2014
I agree and is actually why I didn't wait to long before calling the regional manager for answers. Nothing personal but I NEEDED to start work! I have 4 people who have graciously been waiting for me to sell and buy property. Thanks CA real estate dept oops I mean bureau (took 3 months to get me number). Anyway, I kind wonder if the manager is mad because I called the big boss (twice). : - /
Flag Fri Mar 21, 2014
Annette is right - you need to look at where those fees are going, since many will be the same wherever you hang your license (MLS membership, lock box, REALTOR association membership). If you're paying more in other fees, you need to compare the product that you're paying for. If you're paying extra for E&O insurance, business cards and "admin fees" you should expect that the broker charging the most will give you the best mentoring and support. There can be a HUGE discrepancy between training and support from brokerage to brokerage, especially for new agents. Read through some of the old questions in Trulia Agent-To-Agent and you'll see dozens of new agents asking for advice on how to get started because their brokerage gave them an 8 hour crash course on lead generation and threw them into the market on their own to sink or swim. Other brokerages will put you on a team with an experienced mentor and you'll get first class training with real world experience that gives you the best opportunity to succeed.
1 vote Thank Flag Link Fri Mar 21, 2014
Zero.

Agents aren't paid anything. They work on commission.

As a previous answer notes, the external expenses--getting a lockbox, joining your local MLS, joining your local, state, and the national association will all be the same regardless of where you are.

What varies is the split that you have with your broker. You might, for instance, pay $250 a month and receive 100% of the commission. Or you might pay little or nothing, but end up splitting your commission 50/50 with your broker. That's the really big difference.

Different brokerages will vary somewhat on whether you have to buy business cards or other incidentals, the cost of copying, etc. But that's not going to make a huge difference.

Hope that helps.
1 vote Thank Flag Link Fri Mar 21, 2014
Don Tepper, Real Estate Pro in Burke, VA
MVP'08
Contact
Hey Stink,
You will discover there are DRAMATIC difference in the fees you will pay between brokerages.

However, those things administered by the MLS such as lockbox, NRA and MLS will be the nearly identical.

Even within the same franchise the brokerage fees can vary $1,000 monthly.

Stinks, you would be well advised to turn your attention to other aspects of the business. Those who are pedantic about costs have a scarcity mindset and will forever be scraping to make a living. What you need to be looking at must be regarding where you can make a profit. A $5,000 monthly fee is of no concern if the potential is $500,000 a month. Get my point?

You are looking at the wrong stuff.
You need to read again the '7 Things I Wish I Knew Before Starting Real Estate."

The moniker does not bode well for you either.

Best of success in your real estate choices
Annette Lawrence, Broker/Associate
Remax Realtec Group
Palm Harbor, FL
727.420.4041
http://RealEstateMadeEZ.us
1 vote Thank Flag Link Fri Mar 21, 2014
Thanks for the reply. Cost wasn't the main concern. I know that all brokers charge for the incidentals like business cards, lockbox, NRA etc. But I was wondering how do you know if one company is charging to much? What's standard besides the main stuff? More fees doesn't necessarily me better service. Like one company with the recruiter had a 1st training $1000 then another mandatory training fee during your first year $450, then a percentage on your first 3 sales, then a quarterly fee of $395 etc.i Do most brokerages charge a quarterly of monthly fee? Those are the questions I'm trying to find out about. What's reasonable?
Flag Fri Mar 21, 2014
Our MLS allows to search by agent's name, closed sales in the past 12 months or so, I advise you find an agent in San Francisco to provide you with FACTS, you can never rely on online information or "self promotion".
0 votes Thank Flag Link Mon Mar 24, 2014
Agreed. Beware of self-proclaimed real estate kings, gurus, etc.
Flag Mon Mar 24, 2014
Begin with the end in mind. When I started in Real Estate that is exactly what I did--I looked around for where the high producing agents had hung their licenses and that's where I went and never looked back. Also, don't hide behind a moniker that is sure to turn off people...start using your name and building your brand.

Wishing you all the best in your new career.
0 votes Thank Flag Link Mon Mar 24, 2014
Yes, that seems like a no brainier. Go where the best are. But... how do you find out where the top producers are?
Flag Mon Mar 24, 2014
STinkers,
Regarding the brokerage, there is only ONE question you need to ask, and only one reponse the broker needs to provide.

EVERYTHING ELSE IS MEANINGLESS!!!
The fees....MEANINGLESS (for shame you might pay more)
The incidentals....MEANINGLESS
Spit...MEANINGLESS
Training....MEANINGLESS

Stinkers, you need to honestly ask yourself, "Why did I choose real estate?"
You have lost track of your mission, your goal, your objective and have fixated on the MEANINGLESS.

I will not provide you the one and only question for which you should have any concern. However it is available if you invest the energy to look for it. What is given away freely is perceived to have no value.

You ask, are you making a mistake? You already have! What are you going to do now?
0 votes Thank Flag Link Mon Mar 24, 2014
wow. I love it when people are tuff, straight forward, with knowledge. thank you. I understand that focusing on cost is not important but... however I just didn't want to waste $ on meaningless waste of my time.There are scams out there?These recruiters seem very helpful, knowledgeable, and welcoming. Thus if I think the office seems great how am I to know if it was a waste (meaning I could have gotten the same elsewhere for less). Does that not matter?

Im assuming the question I need to ask is what firm feels comfortable to me and why am I choosing real estate

.Im starting this career because I have strong people skills, have worked in event planning for many years, born and raised in the area and know every inch from Concord to Daly City, from Vallejo to Hayward and have a contact list of over 1500 people.

How would I know where the top producing realtors are? Is there a web site or something?
Flag Mon Mar 24, 2014
FYI everyone. Thanks for the reply for their newbie it helps. One thing:

Cost wasn't the main concern. I know that all brokers charge for the incidentals like business cards, lockbox, NRA etc. But I was wondering how do you know if one company is charging to much? What's standard besides the main stuff? More fees doesn't necessarily me better service. Like one company with the recruiter had a 1st training $1000 then another mandatory training fee during your first year $450, then a percentage on your first 3 sales, then a quarterly fee of $395 etc.i Do most brokerages charge a quarterly of monthly fee? Those are the questions I'm trying to find out about. What's fees reasonable?

Some brokerage (especially with recruiters) can seem like its a good fit because it's their job to (sell), get you to spend the money and believe in them which I don't mind doing but I'm looking for what is just excessive.
0 votes Thank Flag Link Fri Mar 21, 2014
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer