Another type of sponsoring broker new agents might see ads for are for high commission split, or even 100% commission split, real estate brokerages. As good as earning 100% of your commission might sound, be aware of the various hidden fees that they’ll inevitably charge in order to have a viable business model.
In fact, because these 100% commission split firms give away most to all of the commission, they typically have to charge a myriad of hidden fees in order to stay in business. These range from desk fees, software fees, franchise fees, office fees, form fees, insurance fees, startup fees to even transaction fees.
Death by a thousand fees
So even though a firm might promise a very high commission split, you’re still going to be nickel and dimed, typically more so than at a more traditional brokerage firm that takes a 50% commission split.