Commission Splits; Berkshire Hathaway, Coldwell Banker, etc., etc

[John Fulton]

Your real estate brokerage corporation; Berkshire Hathaway, Coldwell Banker, Remax, etc., etc., probably isn't even profitable on the Realtor/agent side of the business.  Their profitability leans heavily on the ancillary services; title search and land transfer, insurance, etc.  Berkshire insists you use Trident mortgage and land transfer, Berkshire Hathaway affiliates. If you're at Coldwell Banker you've probably noticed how cult-like they are about you using Cross-Keys title and land transfer.  Perhaps your brokerage / chain subleases to a particular mortgage lender your introduced to and encouraged to use. 

The bulk of your commission split goes to paying for the brick and mortar lease space you don't use, not if you're a productive agent. "If you're in the office, you're not making any money." - Every top agent who hasn't been in the business 165 years.  All that lease space for dozens of agents who never sell anything, just need a place to hang the license. Brokerages don't know whose going to help pay the bills and who isnt. So in the meantime, your commission will pay for electric, heating, cooling, water, sewer, the IT guy who bills out the most for unproductive agents, etc. 

Your internet leads, Zillow, Realtor.com, Realgeeks, etc., are more expensive by several multiples, being that your return on investment calculation includes a devastating split of 20-50%.  Do you think buyers care who your broker is? No. I swear on all the religions that they dont. And sellers don't care if you don't sound exactly like every other realtor. Of course, if your reading from the same scripts, and offering the same mundane services as everyone else, the tie breaker may be Kurfiss or Berkshire Hathaway if its a high-end home. But if you aren't just another agent among the 2 million registered agents, with just 5.5 million homes selling every year (2.75 homes per agent), then you should be able to ingratiate yourself with the seller with an evident marketing perspicacity. 

If your new to real estate, I wouldn't get wrapped up in the brand names. It really doesn't matter.