If I am a real estate agent but I hire another agent to work for me as a buying or listing agent, by law, does that person has to split his/her commission to me? If so, how many % it should be? Thank you!
2007-02-13 16:28:58 · 5 answers · asked by PMfan 1 in Business & Finance ➔ Renting & Real Estate
There are a multitude of different arrangements that can be entered into.
A "team" can consist of Buyers Agents as well as Selling Agents and unlicensed as well as licensed assistants.
Buying and Selling agents would need to be licensed unless they were hired by a project developer and selling only that project. The un-licensed assistants have definite restrictions on what they can do and this must be followed or else you go to REALTOR jail...
How the "team" is reimbursed can be whatever the parties to the agreement feel is equitable for the work and effort provided. It can be a portion of the commission, a set "per deal fee", or some combination.
A word of caution - where I work there are a number of teams that are constantly changing the "players" and I don't think the public respects the instability that represents.
The reason why people leave the team is that often the team member feels that the reimbursement is not commensurate to the work that they do.
Having a team leverages your time and allows specialization in the different areas of the business. Also, having an assistant to do the everyday tasks that a RE license does not require allows you to focus on the work we get paid $100. per hour for while the assistant does the $10-$15 per hour jobs.
A little of the Floyd Wickman coming out of me!
2007-02-13 17:47:08 · answer #1 · answered by glen s 3 · 0⤊ 0⤋
You can hire anyone you would like. The split all depends on what you agree upon, and what expenses you are taking care of for the. The more expenses you pay, the more favorable the split should be to you.
It is entirely on a case to case basis, but make sure you have a written contract with all the terms of your agreement. Like what happens to a listing, or a buyer if said person decides to leave the team. and so on and so forth.
Good luck,
RE Agent with a team.
remax
2007-02-14 00:52:25 · answer #2 · answered by frankie b 5 · 0⤊ 0⤋
Hiring a Realtor is entering into a relationship. The Realtor may have only 1 to 4 houses they represent sellers for. And, the rest of the business is buyers. That's a good thing because they have more time for you. They should: 1) Be able to stage your home without making you hire a $10K service to do it for you. They'll have storage place to bring out contemporary furniture, paintings, and other things to turn your home into a model home. 2) They should have an eye for design. This could mean recommendations for you to paint your house (make it appeal to the broad market - not your personal nitch). 3) They should know about curb appeal. They may even replace some plants for you. 4) They should be well connected in their field. This means RE Attorneys, Escrow Companies, Loan Brokers, and other Real Estate agents. Note: If other agents do no like your realtor, they will stear their buyers away from houses being represented by that agent. Real Estate agents do play politics with one another. Reputation matters. 5) Reputation builds on itself. Real Estate agents are known to either close deals, or forget to tie up the loose ends. Escrow companies know who the good ones and bad ones are. Escrow companies constantly chase the bad ones to get their clients documents in. Good Realtors chase the Escrow companies and mortgage companies. They are relentless... working for their seller. 6) Your Realtor should be able to take care of your house while you're out of town (extended - even weeks at a time). This means watering, trimming, and facilitating home maintenance. 7) Your Realtor should have a relationship with a handyman. He/She should offer to bring over the handyman and FIX anything that needs to be addressed before your house is officially listed on the MLS. If your Realtor isn't all of what I described, they aren't worth the money they'll eventually get upon the sale of your home. Remember, that check could easily be $20K (depending on your sale price). Make them work for it. They are your right arm so that you can work on purchasing your next residence.
2016-05-24 08:35:36 · answer #3 · answered by Anonymous · 0⤊ 0⤋
you can enlist the aide of an assistant/partner. and, it's at whatever commission split you both agree upon.
60/40 is a typical split.
2007-02-13 17:01:27 · answer #4 · answered by Art 4 · 1⤊ 0⤋
complex situation. search on yahoo and bing. this may help!
2014-11-18 19:31:27 · answer #5 · answered by Anonymous · 0⤊ 0⤋