Do one of us have to be a realtor to get a commission?

Biggies there are RE commissions (6% of the selling price, typically) and closing costs (use a "hold open" on the title insurance when you buy to reduce the cost when you sell).  

I utilize both, the sales commission is built into the selling price.

You can pay commission only based on number of properties managed initially and bring them on later on as a W-2 employee when the business expands.Here's some good reading from the IRS to make sure you can legitimately treat them as an IC: http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Independent-Contractor-(Self-Employed)-or-Employee%3FOn your website it says you are managing for 6%.

Because if there is a one-in-100 shot at finding a "greater fool" to buy the property, they get a commission.

It is do at the time of acceptance according to the contract produced by the Texas Real Estate Commission.

Is it common for the rental management company to state in the management contract that if I, the owner of the home, decide to sell my home within a year of termination of my rental management contract I have to pay the realty management company 61/2% commission fee even if I use a different company.  

Which means no room for profit, no room for holding costs, commission, and it's probably more like ARV - 60%rehab = asking price.

Soon enough, I was getting blueprints approved by city officials, going to city council planning commissions and meeting with engineers.

With my real estate license I get the commission on the A-B.