The Truth about Real
Estate Commissions
How much money are you honestly making?
Presented and written by Troy Sage
Average Agent
Average Agent produces 3 to 6 deals per year
Excellent Agent produces 7 to 14 deals per year
Top Achieving A...
Brokerage Splits
Traditional Broker 70% split to agent
Brokerage with Cap 70% split with cap of
commission to Broker of le...
Traditional Brokerage
Broker provides an office, but
sometimes charges their agents office
space rental
Some Brokers provi...
Brokerage With Cap
Broker provides an office, but Usually
charges their agents office space rental
Some Brokers provide a ...
Example of an Excellent
Agent
Agent closes 10 Transactions in one
Year
Average Sales Price of $300,000
Average Sales Commi...
Agent Costs
Advertising
WEbsite
Internet Ads
Internet Subscriptions
Photos
Video and Virtual Tours
Presented and Written b...
Agent Costs
Branding
Business Cards
Signs
Brochures
Letterhead
Presented and Written by Troy Sage
Agent Costs
Subscriptions
MLS
NAR
Lockbox and Key
Contact Management
Software
Presented and Written by Troy Sage
Agent Costs
Misc
Electronic Signature
Software
Office Rent
Printing & Postage
Coaching and Training
E&O Insurance
Presente...
Commissions
70% - 30% Sales Price of
$300,000 Total Commission is
$75,000
10 Transactions
Broker Makes $22,500
Agent Makes...
Agent Costs
MLS Dues $1,500
Lockbox Costs $500
Lockbox Key $150
Business Cards $100
For Sale Signs $1,000
Open House Signs...
Agent Internet Costs
Agent Website $500
Realtor.com $600
Trulia.com $600
Zillow.com $600
Virtual Tour Software $360
Showin...
Agent Promotion Costs
Postage and Advertising for 1,000
Homes for 12 months $5,160
Printing $720
HD Photos and Videos of L...
Agent Business Costs
Electronic Signature Software $120
Transaction Coordinator $2,500
Contact Management Software
$360
Cu...
Income and Costs
Must Have Costs $4,250
Internet Costs $3,140
Additional Costs $4,380
Printing and Marketing $8,380
Total ...
Actual Commission or
Income
• 10 Sales with Commission of 2.5% at $300,000
• Gross Commission $75,000
• Broker Split 30% $...
Actual Commission or
Income
Commission $52,500
Expenses $20,150
Total Income $32,350
Actual Commission 43.13%
Presented an...
For More Information and
Education
Go to http://www.TroySageTraining.com
Presented and Written by Troy Sage
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Real Estate Agent Commissions and Costs. What will an agent make when they sell a home?

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Agent Commission and Cost Training. What do Brokers Offer, what does an agent have to pay for, and what will you make at the end of the day as a Real Estate Agent.

What will an agent make when they sell a home? What does the Broker make?

Brokers offer all kinds of commission splits. As an agent you need to know what your real cost is, and how much money will have to spend to make money in the business.

For more information and additional training please feel free to visit www.TroySageTraining.com

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Real Estate Agent Commissions and Costs. What will an agent make when they sell a home?

  1. 1. The Truth about Real Estate Commissions How much money are you honestly making? Presented and written by Troy Sage
  2. 2. Average Agent Average Agent produces 3 to 6 deals per year Excellent Agent produces 7 to 14 deals per year Top Achieving Agent produces 14-24 deals per year Mega Agent produces 24+ deals per year Presented and Written by Troy Sage
  3. 3. Brokerage Splits Traditional Broker 70% split to agent Brokerage with Cap 70% split with cap of commission to Broker of lets say $21,000 Presented and Written by Troy Sage
  4. 4. Traditional Brokerage Broker provides an office, but sometimes charges their agents office space rental Some Brokers provide a Receptionist Office Training A Place to hang your license Presented and Written by Troy Sage
  5. 5. Brokerage With Cap Broker provides an office, but Usually charges their agents office space rental Some Brokers provide a Receptionist Office Training A Place to hang your license Presented and Written by Troy Sage
  6. 6. Example of an Excellent Agent Agent closes 10 Transactions in one Year Average Sales Price of $300,000 Average Sales Commission of 2.5% Gross Commission income of $75,000 Presented and Written by Troy Sage
  7. 7. Agent Costs Advertising WEbsite Internet Ads Internet Subscriptions Photos Video and Virtual Tours Presented and Written by Troy Sage
  8. 8. Agent Costs Branding Business Cards Signs Brochures Letterhead Presented and Written by Troy Sage
  9. 9. Agent Costs Subscriptions MLS NAR Lockbox and Key Contact Management Software Presented and Written by Troy Sage
  10. 10. Agent Costs Misc Electronic Signature Software Office Rent Printing & Postage Coaching and Training E&O Insurance Presented and Written by Troy Sage
  11. 11. Commissions 70% - 30% Sales Price of $300,000 Total Commission is $75,000 10 Transactions Broker Makes $22,500 Agent Makes $52,500 Presented and Written by Troy Sage
  12. 12. Agent Costs MLS Dues $1,500 Lockbox Costs $500 Lockbox Key $150 Business Cards $100 For Sale Signs $1,000 Open House Signs $500 E&O Insurance $500 Total $4,250 Presented and Written by Troy Sage
  13. 13. Agent Internet Costs Agent Website $500 Realtor.com $600 Trulia.com $600 Zillow.com $600 Virtual Tour Software $360 Showing Feedback System $480 Total $3,140 Presented and Written by Troy Sage
  14. 14. Agent Promotion Costs Postage and Advertising for 1,000 Homes for 12 months $5,160 Printing $720 HD Photos and Videos of Listings $2,500 Total $8,380 Presented and Written by Troy Sage
  15. 15. Agent Business Costs Electronic Signature Software $120 Transaction Coordinator $2,500 Contact Management Software $360 Cubicle or Office Rent ($75 per month) $900 Coaching or Training $500 Total $4,380 Presented and Written by Troy Sage
  16. 16. Income and Costs Must Have Costs $4,250 Internet Costs $3,140 Additional Costs $4,380 Printing and Marketing $8,380 Total $20,150 Presented and Written by Troy Sage
  17. 17. Actual Commission or Income • 10 Sales with Commission of 2.5% at $300,000 • Gross Commission $75,000 • Broker Split 30% $22,500 • Agent Commission $52,500 Presented and Written by Troy Sage
  18. 18. Actual Commission or Income Commission $52,500 Expenses $20,150 Total Income $32,350 Actual Commission 43.13% Presented and Written by Troy Sage
  19. 19. For More Information and Education Go to http://www.TroySageTraining.com Presented and Written by Troy Sage

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