The Virtual Realty Group - Flat Fee 100% Commission Program

[Ronnie Lee]

I am an investor who just obtained the salesperson license in Massachusetts.  I am looking for a brokerage to hang my license with minimal fees and higher commissions.

I came across The Virtual Realty Group during my research. They have a branch office in Massachusetts. The brokerage offers an appealing Flat Fee 100% commission program. Here is the fee structure:

- Flat fee of $595 per transaction (deal over $1M has a higher fee)

- 100% commission to agent

- Free E&O insurance $1M for every transaction

- Updated forms for buy & sale transactions (similar benefits as from the NAR membership)

- Annual membership fee of $109X3=$327

- No mandate on NAR membership ($550 per year in MA. Besides the benefit of the forms, I do not think the money is well spent) or MLS membership (approximate $190/quarter, which is useful investment)

- Brokerage has no trust fund/escrow account.  The Brokerage advises agents NOT to handle deposits, but have buyers send it directly to the closing company (e.g., closing attorney or seller attorney).  This is odd, but it makes me feel they are more legitimate and not try to take the deposits and run. 

- They do have a catch that even if you waive the buyer agent fee as a leverage for negotiation of the deal, the brokerage will still charge the transaction fee. You are not allow to do deals behind their back and have to submit all paperwork within 48 hours. However, it is only $595 per deal and it is covered by the E&O insurance.

- They do NOT issue Form 1099 MISC.  This is odd, I thought they are required by the tax law.  However, as long I keep good records, I can still correctly report my income.

Here is the link to the Flat Fee Program. 

https://vrgne.com/flat-fee/

Here is the link to the Independent Contractor Agreement:

https://thevirtualrealtygroup.com/VRG-ICA-OPPM.pdf

In summary, after paying the annual membership fee of $327 and $595 per transaction fee, the agent gets to keep 100% of the commission.  It sounds a little too good to be true.  Let me know if you see the catch.  If you are working or have worked for this group, could you share your experience?  Thank you!

[Richard Thayer]

Does anyone have any experience with them?

[Jonathan Howard]

@Ronnie Lee  which brokerage did you end up going with?

[Ronnie Lee]

Originally posted by @Jonathan Howard:

@Ronnie Lee  which brokerage did you end up going with?

I did go with the Virtual Realty Group and just received my first commission.  75%, not bad.  I never met the broker, but he is very accessible via text or email.  No meetings and no trainings, which fits my needs as an investor.  I would recommend them.

[GUY MEYITANG]

I have just spoken with them and did some research. They’re legit and the fees are worth trying.

[Michael D.]

I've worked part-time with Virtual Realty Group (I'm also in Massachusetts) for the past 1 1/2 years.  I've had a great experience and I was a new agent.  They have a learn as you go mentality as far as training goes so I feel you need to be a bit more self-motivated starting out as opposed to if you worked for a more well-known brokerage with a more formal training program.  Let me know if you have any questions. 

[Ali Abdullah]

Any updated on this ? Are people still satisfied with them?