If you’re ever wanted to run your own Estate Agency but are put off by the fixed costs, the Keller Williams model could be ideal.
Keller Williams recently launched a hybrid estate agency model in Ireland, combining the best features of online and traditional high Street Agencies in a centralised model.
Keller Williams runs regional Market Centres acting as hubs for independent, self-employed Agents that run their own businesses. These centres provide the technology, admin and office space that the Agents need, so reducing the cost and risk of setting up your own office.
Add to this the range of tools from the world leader in Property Tech and you have a winning combination!
Think of it as Coworking for Estate Agents!
Agent focussed sales commission model
What makes Keller Williams stand out is the way these services are paid for.
There are no fixed costs for the services provided to the self-employed agents, instead, there is a profit share on sales commissions made by the agent, significantly reducing the cashflow and business risks for new agents.
On completion, the fee is split three ways:
So if you sell a house in Dublin for £388,000, at a fee of 1.25%, the total commission is €4,850. Of this the agent receives €2,910, the market centre receives €1455 and Keller Williams receives €485.
Hit the cap and put your revenue into overdrive!
Where it gets interesting is the annual picture, as the amount you pay the market centre is capped, once its costs are covered.
After this point, the Independent agent keep 90% of the commission!
Once the agent has paid €25,000 per year into the market centre, the commission is split 90/10 with Keller Williams, Based on the average figures above, that means you’d be retaining €4365 for each sale you made until the end of the year.
That’s from house 17 onwards!
What does that mean for the average Independent agent’s sales commissions?
On average, Dublin agents sell 3 houses per month. At the average sales price of €388k, and a 1.25% commission, the agent would earn €132k per annum before tax.
Back yourself and make the most of your talents
Keller Williams is the perfect model for exceptional agents looking to take the next entrepreneurial step. If you know you can sell, have a strong track record and a full pipeline of listings, think about how much more this will be worth as an Independent Keller Williams agent.