The President of Alliance Bay Realty Dave Dawar Lodin adds that most California real estate brokerages have high commission splits
with its agents.
Many of the new firms now bursting onto the real estate scene promise the latest, greatest commission splits
. But Edward Longley, a former City Connections Realty broker who launched the Hollingsworth Group last month, has a different approach.
The reality is that unless you hold one of the top slots on the brokerage team, by the time the commission splits
are divvied up, the rewards are often much slimmer than anticipated--or needed to sustain you--for the six months, one year or longer that you devoted to the deal.
The new company has a unique commission structure based on high commission splits
Anti-trust litigation proliferated after 1969 when the United States Justice Department focused on the real estate brokerage industry and multiple listing services in particular, in order to confirm that suggested or recommended or required commission rates and commission splits
were no longer being promoted by boards of realtors, real estate boards and their multiple listing services.
For more on the new types of commission splits
that some firms are using and on new development versus resale commissions, we turn to our panel of experts.