While commissions have increased slightly, we're investing heavily in marketing to ensure
homes sell despite the slower market.

 

Since the NAR settlement in August 2024, I’ve been paying close attention to how the real estate industry has shifted, especially when it comes to commissions. Over the past 8 to 10 months, I’ve seen some interesting developments both across the market and within my team.

Are there changes to commissions? One of the biggest questions lately has been about commission structure. Surprisingly, there hasn’t been a major change. On average, I’d say commissions have only moved about one percent. In fact, ours have gone up slightly. This is not because we’ve raised rates for the same service, but it's because we now offer a full menu of services, which adds more value for sellers and keeps us competitive. We’re still doing everything we did before and we continue to outperform most agents in the market.

 

"Our focus remains on reaching the right audience and achieving real results."

 

Marketing commissions. A big part of our strategy now involves marketing aggressively to other agents. We have a database of over 30,000 agents, and we’ve been working hard to let them know that there is still a commission involved. Even though commission details can’t be published on the MLS anymore, our team structure allows us to promote that information in other ways. This makes a significant difference. When agents know there’s good compensation involved, they’re more likely to show and sell the property.

We’ve also expanded our marketing efforts with tools like Zillow, Realtor.com, and pay-per-click advertising. These investments help us reach a much broader audience. Our company operates in over 50 states and more than 50 countries, so we’re pushing listings out not just locally but across the country and internationally. Getting the right exposure is critical, especially in a slower market.

Last month proved that our efforts are working. We put about 45 homes under contract, making it one of our best months ever. This aligned well with our performance last year even though the overall pace of the market has slowed.

While commissions have increased slightly, our profit margins have decreased. This is primarily due to the additional resources we're investing to get homes sold. However, in the current market, these efforts are essential. The focus remains on reaching the right audience and achieving real results.

If you’re curious about how our menu of services works or want to understand more about what’s changed since the settlement, feel free to reach out. You can contact me at (561) 628-0299 or send an email to jeff@tricoliteam.com. I look forward to hearing from you.